Download - your guide to saving and investing for retirement · 2019-08-08 · 1. Complete the Salary Reduction Agreement (last page of Guide). Keep a copy of the completed form for your own

your guide to saving and investing for retirement

getting there

School City of Hobart 403(b) Retirement Savings Plan

Fiduciary Consulting Services and Financial Planning Services offered through The Schamber Group, Inc., a Registered Investment Advisor.

Registered Representative. Securities offered through Cambridge Investment Research, Inc. a Broker/Dealer. Member FINRA/SIPC. Investment Advisor Representative. Cambridge Investment Research Advisors, a Registered Investment Advisor. Cambridge and The Schamber Group, Inc. are not

affiliated.

Your 403(b) Retirement Savings Plan

Dear Employee:

Congratulations! You are eligible to enroll in School City of Hobart’s 403(b) Retirement Savings Plan. Schamber Group

is proud to be the Independent Financial Advisor working with your school corporation to bring you high quality investment

options: low cost mutual funds, target date funds, professionally managed portfolios and the Prudential Guaranteed Income

Fund. Additional information about these options are in this Enrollment Guide and through your online account on Aspire’s

website.

School City of Hobart is one of a group of schools which works together to achieve institutional pricing from your retirement

plan’s service providers and for your investment options, a great benefit to 403(b) participants. Your 403(b) plan is an

unbundled system. This means your plan is served by several different corporations, not just one. The corporations and

their roles are:

The Schamber Group, Inc. – Plan Advisor, Participant Services and Portfolio Management

ASPire Financial Services – Recordkeeping, including Participant Online Accounts

TD Ameritrade – Asset Custody

TSA Consulting Group, Inc. – Transaction Processing and Plan Administration

We hope that you take advantage of this great opportunity and participate in your school corporation’s 403(b) plan.

What is the next step?

1. Complete the Salary Reduction Agreement (last page of Guide).

Keep a copy of the completed form for your own records.

Salary reduction amount can be changed at any time through your online account.

2. Return completed and signed Agreement to your Payroll office.

3. Read through the rest of this Enrollment Guide.

Once the form is processed, you will receive an email from Aspire. Using the link provided, continue your

enrollment, assign beneficiaries and make investment choices through your online account. Additional details are

given in “Accessing Your New Account!”, located at the back of this Guide. Check your Junk or SPAM filter if you

don’t see Aspire’s email within 2 business days.

If you have any questions, please contact us:

[email protected]

Phone: 765-807-0683

Toll-free: 866-573-0912

Sincerely,

Elaine M. Schamber PhD, CFP®, AIFA®

President, The Schamber Group, Inc.

mailto:[email protected]

the modern american retirement system

Where do you begin? First, you should understand that retirement plans are very different for most of today’s work-ers, compared to those being used by today’s retirees. The modern American retirement system offers much greater

flexibility, opportunity and individual control; however, these benefits come with a great deal more personal responsibility. This means that you will have to spend some time learning about saving and investing, and you must accept the responsibility of ensuring that you save enough and spend responsibly. While learning of this responsibility may seem unfair or make you feel shortchanged, you should consider the benefits.

Today’s generation of workers will control how much of their compensation is saved for retirement, how it’s invested, and how they spend their savings during retirement. This is quite different from the retirement plans of previous generations, which were managed and controlled entirely by the employer rather than the employee. This meant that employees had almost no responsibility to learn about or monitor their investments, and their Plans were very restrictive and offered little or no individual control. These Plans were designed for a generation of workers who spent the majority of their career with a single employer, whereas the modern American retirement plans are designed with portability features for today’s more mobile workforce.

Like previous generations, the primary source of retirement income for most American workers will come from their employer-sponsored retirement plan. However, the method in which the money to pay for these retirement benefits is accumulated, invested, and, ultimately distributed (spent), will be much different for current and future generations of workers.

Why? One school of thought is that a portion of the previous generations’ compensation was paid in salary and a portion was allocated to pension benefits. Employers hired professionals to manage the entire pool of investments for everyone in the Plan, and employees were limited to just a few retirement income options. Therefore, an employee’s retirement income was defined by the Plan, rather than their lifestyle.

Today’s workers receive more of their compensation in cash and are expected to voluntarily save a portion of their wages for retirement. This means that you’ll be responsible for establishing a retirement income goal and calculating your ongoing progress.

Also, you’ll need to learn the basic principles of saving and investing for retirement. This is no longer an option for employees such as yourself - this is an absolute must.

the modern american retirement system

> saving and investing for retirement is different today, compared to previous generations

> you’ll have more flexibility, opportunity, and control

> you’ll have more responsibility

> americans are living longer, which means a longer retirement and more money saved to pay for it

> your employer’s plan offer tax benefits and other features to help your money grow faster

modern retirement lifestyle

The number of years spent in retirement is another consideration for today’s workers. Thanks to advances in the medical profession and healthier lifestyles Americans are living longer and enjoying a longer retirement. While a 10-year retirement was a typical period for previous generations, it’s not unreasonable for today’s retirees to expect a retirement that lasts 20 years or more. Of course, this means that retirees will have to save more money to pay for an extended retirement or plan to generate additional income by working, at least part-time, during a portion of their retirement years.

what are the advantages?

Your employer’s retirement plan is designed to provide much greater individual control. You are in control of your retirement age, savings rates, investment decisions and how to spend your savings. Your retirement plan representative can help calculate the amount you should save and explain available investment options.

employer-sponsored retirement plan

what do you mean:“modern american retirement system?”

what changed, and why am I responsible?

the three-legged stool

For over fifty years financial planners and advisors have referred to retirement planning as a three-legged stool to describe the importance of creating retirement income from multiple sources. The first leg represents benefits from an employer-sponsored retirement plan. The second leg represents retirement benefits expected from Social Security, and the third leg represents personal (supplemental) savings. Together, the three “legs” (sources) create a complete retirement income package.

the history

While this three-legged approach is still recommended today, the first leg (employer-sponsored retirement plans) has changed significantly in the modern American retirement system. For previous generations, their employer’s primary retirement plan was generally a Defined Benefit (DB) retirement plan. Employees covered by these types of Plans had very little responsibility, because their benefit was based solely upon a formula. Some of these Plans would be funded entirely by the employer, and others would require employees to contribute a portion of their pay in addition to employer contributions. All of the money was invested in a single (pooled) account, and the employer hired professionals to make all of the investment decisions. Additionally, the employer hired specialized accountants, called actuaries, to calculate how much would need to be contributed to the Plan in order to maintain enough money to pay future promised retirement benefits. Their calculations were based upon many factors, including the amount of money currently in the Plan, expected future contributions and an assumed annual growth rate of the Plan’s investments.

These employer-does-everything Defined Benefit (DB) Plans certainly have many advantages; however, they are typically very restrictive. Employees are usually limited to just a few retirement income choices from the Plan and a lump-sum withdrawal option that is subject to substantial penalties, which makes these Plans less attractive to anyone who may not plan to be a career employee. Most DB Plans have been replaced by Defined Contribution (DC) Plans. In fact, it’s estimated that over 80% of Americans’ retirement plans are DC Plans, which operate much differently.

why am I responsible?

As an employee participating in a Defined Contribution Plan you have the ability to decide how much to contribute, how to invest the money, and how to have it paid to you when you’re eligible to receive a distribution. These Plans are generally much more portable and easy to transfer to another employer’s Plan, which makes them attractive to a more mobile workforce. In exchange for all of this flexibility, opportunity, portability and control, you take on the task of ensuring that you save enough money, invest wisely, and spend responsibly.

what are my responsibilities?

> participation in most of these Plans is discretionary (you decide if you want to invest, and how much)

> choose how the money is invested

> establish a retirement income goal

> determine a savings goal

> periodically calculate progress to ensure that you’re on pace to achieve your savings goal

social security

personal savings

Why should you save money in your employer-sponsored retirement plan? There are a number of reasons why you should save money for retirement, which were described in the previous sections.

Bottom line - as a participant in the modern American retirement system, you have the sole responsibility to make yourself save for retirement. In most cases, your employer will not require that you participate in the Plan; however, there are many advantages to using this Plan.

pre-tax savings

Your employer-sponsored Plan allows you to invest money on a pre-tax basis, which means that your contributions are deducted from your paycheck before income taxes are calculated. In other words, you can use this tax strategy to make your account grow faster by saving more money than you’re able to if you saved on an after-tax basis. Saving money after-tax means that you would decide to take a portion of your take-home pay to save and invest after your employer has deducted all of the necessary income taxes. The table below is provided to help you understand the difference between pre-tax and after-tax savings.

In this comparison you can see that the semi-monthly gross salary (row 2) and the net take-home pay (row 8) are identical for both pre-tax and after-tax savers. However, the difference is in the amount saved/invested each paycheck. The after-tax saver is investing $100 (row 7) each paycheck, while the pre-tax saver is investing $117 (row 3), and both have the same net take-home pay. The pre-tax saver is able to save an additional $17 each paycheck because the amount withheld for federal income taxes is reduced (row 6). Federal income taxes on these pre-tax contributions are deferred until the money is withdrawn from the account. Therefore, the pre-tax saver can use the additional amount contributed to invest and make the account grow faster.

Additionally, there are other potential tax benefits. First, if you reside in a state that requires you to pay state income tax, you may further increase the amount invested on a pre-tax basis, because these contributions are

why should I save for retirement? > it’s your responsibility to make yourself save

> your employer’s retirement plan offers pre-tax savings benefits to help your money grow faster

> your employer may offer “free money” in the form of matching contributions

also exempt from most state income taxes. Also, you benefit from paying income taxes at a lower rate when you receive a distribution if your taxable income is lower during retirement than it was when you made the contributions.

getting there:why should I save?

row pre-tax savings after-tax savings

1 annual salary $ 45,000 $ 45,000

2 semi-monthly gross salary $ 1,875 $ 1,875

3 pre-tax retirement savings $ 117 $ 0

4 taxable income $ 1,758 $ 1,875

5 fica and medicare taxes $ 143 $ 143

6 federal income tax $ 110 $ 127

7 after-tax retirement savings $ 0 $ 100

8 net (take-home) pay $ 1,505 $ 1,505

9 total income taxes paid $ 110 $ 127

10 pre-tax savings difference $ 17 n/a

Note: Assumes semi-monthly (24) payroll cycle and married taxpayer claiming 2 withholding allowances.

R emember, one of your most important responsibilities is to calculate how much you’ll need to save in your employer’s retirement plan and personal savings to supplement retirement income

that you expect to receive from Social Security and any other sources. In order to accurately determine how much you need to save you should use a retirement planning calculator, which is usually provided on your Plan administrator’s web site, or have your investment professional perform the calculations for you and provide a retirement savings plan.

what’s involved with figuring the amount I need to save for retirement?

The first step in calculating required funding (savings) is to establish a retirement income goal based upon your spending expectations during retirement. If you’re unsure of spending expectations you might use a common guideline often recommended by financial planners, which is to provide retirement income that would replace 70% - 80% of your projected final salary. The reasoning behind these amounts are based upon the assumption that you are saving 20% or more of your annual income prior to retirement, so you’re already used to living on 80% or less of your income . Additionally, you may have lower expenses during retirement, which means that your income requirements are lower.

Remember that retirement income will likely come from several sources (the three-legged stool), which include your employer-sponsored retirement plan, Social Security, and supplemental savings. So be sure to include expected retirement income from all sources when calculating your funding requirements. Social Security estimates can be obtained from their web site (www.ssa.gov), where there are several calculators available, ranging from simple to sophisticated

Alternatively, if you’re wondering approximately how much you will have saved, the table below provides estimates for a range of time horizons and current salary figures.

current salary

years until retirement

15 20 30

$30,000 $298,500 $363,100 $537,500

$50,000 $605,700 $736,900 $1,090,800

$80,000 $1,176,200 $1,431,100 $2,118,400

These projections assume you are single, receive a 4% annual pay increase, an 8% rate of return (not guaranteed), need 80% of current salary, live 25 years in retirement, and receive Social Security benefits of $13,800, $19,300, and $23,800, respectively. These examples are hypothetical and do not represent the return of any particular investment.

how much will I need to save?

As a general rule you will probably need to save about 15% - 20% of your annual income for retirement if you are seeking to replace 80% of your final salary. Of course, there are many variables that would alter this rule, so it’s really best to perform an individual calculation. The most important decision that you’ll make is to get started saving as soon as possible. While investment selection and management can help your portfolio grow faster, your greatest ally as an investor is time.

getting there:how much will I need?

calculating how much you’ll need to save

> establish a desired retirement age and a retirement income goal (i.e. 75% of salary)

> estimate how much you’ll get from other sources, such as Social Security

> use an online retirement calculator to determine how much you would need to save to pay for the difference, or have your investment professional do this for you

> use the same online retirement calculator (or invest-ment professional) to estimate how you’ll need to save each paycheck to reach your savings goal

> periodically recalculate your progress - you should do this at least every 2 - 3 years

Investing for retirement can be narrowed down to two very important principles - asset allocation and diversification. Ironically, these two concept are often confused with one another. So, this section was written to eliminate the confusion by describing the two concepts and their differences in easy-to-understand terms.

the three major asset classes

The first, and most important, decision that you’ll make about your investments is referred to as “asset allocation.” To understand asset allocation you must first understand the three major asset classes and what makes each of them unique.

The three major asset classes are stocks, bonds and cash. Each of these are different types of investments that have very different risk and potential reward characteristics. The chart below shows the historical performance of the three major asset classes and inflation (we’ll get to that later) during the past 20 years. Let’s start with the definition of each of the three major asset classes.

what is a cash investment?

Cash alternatives are relatively low-risk, short-term, and generally fairly liquid–in other words, you can convert them to cash quickly if needed. You might use cash alternatives:

other purposes

you decide where to put your money longer term

A few examples of some cash alternatives include certificates of deposit (CDs), money market deposit accounts, money market mutual funds, and U.S. Treasury bills (T-Bills). Each option offers different rates of return and varying levels of liquidity. Also, some cash alternatives, such as bank CDs and deposit accounts, may offer FDIC insurance; others do not. Be sure you understand the type of protection available with each one.

getting there:what do I need to know about investing?

20-year historic performance of the three major asset classes and inflation(results of $1 invested in December 1998)


what is a bond investment?

Similar to “cash” investments, a bond is also a loan with a promise to return all of your principal (initial investment) and interest. Bonds are really IOUs issued by corporations and governments as a way to raise money to fund a specific project or other endeavor. In exchange for these loans/IOUs the investor receives a certificate that states the period (term) of the loan and amount of interest to be paid.

Unlike cash investments, the term of these loans are longer and generally promise to pay a higher rate of interest as a result. The performance of bonds are also affected by current interest rates. When interest rates are decreasing, existing bonds tend to outperform the average return shown in the chart on the previous page. Likewise, when interest rates are rising, existing bonds tend to underperform their long-term averages.

Additionally, bonds range in quality and risk based upon the ability of the issuer (corporation or government) to repay the loan/IOU and all of the promised interest. Therefore, the risk and potential investment return from bond investments are determined both by the term of the loan and the quality of the issuer. Historically, the investment performance for a diversified pool of high-quality bonds has been greater than cash investments, while offering relatively low risk characteristics.

what is a stock investment?

Unlike cash and bond investments, an investment in stocks does not represent a loan or IOU, so there’s no guarantee or promise to get any of your money back and there’s no guarantee that you’ll make a profit. When you invest in stocks you are buying a small piece (share) of ownership in a corporation. Therefore, an investment in stock is an investment of confidence that represents your confidence that the company (and it’s stock) could increase in value over time.

what do I need to know about investing?

> the three major asset classes (stocks, bonds, cash)

> understand asset allocation and diversification

Much like real estate, shares of stock are purchased at their current value, which is determined by what other investors/buyers are willing to pay at a particular point in time. The value of both real estate and stock may increase or decrease in value. Investors hope to profit from their investment by selling it (stock or real estate) to someone else at some point in the future for an amount greater than their purchase price.

The historic performance of stocks has been much greater than that of cash bonds over longer periods of time; however, the performance of stocks during short periods of time can be extremely volatile (potentially extreme increases or decreases in value) during short time periods. Therefore, an investment in stocks is generally more attractive to the long-term investor, because the short-term ups and downs are outweighed by the potential greater long-term investment returns.

how does inflation impact investments?

Inflation represents a measurement of the increased costs for goods and services over time. As a long-term investor, inflation is an important consideration, because the cost of goods and services will likely increase while your money is invested. Over the long-term, it’s advisable to invest in asset classes that have outperformed inflation by a meaningful amount.


asset allocation models

age 25

age 35

age 45

age 55

age 65

88%

87%

13%

12%

77%

23%

58%

42%

55%

45%

bondsstocks

what do I need to know about asset allocation?

> control your potential risk and return by adjusting the amount allocated to stocks, bonds, and cash

> allocate more stocks in the early years of your career

> gradually decrease the allocation and increase the allocation to bonds as you near retirement age

what is asset allocation?

As mentioned previously in this section, asset allocation is the most important decision that you’ll make initially, and the most important revision made to your portfolio over time. Asset allocation is simply how you decide to allocate (divide) your investments among the three major asset classes (stocks, bonds and cash). Independent studies have concluded that this decision is representative of over 90% of the potential investment return of a diversified portfolio, and that individual investment selection and timing have very little influence on the performance of a long-term portfolio.

The amount allocated to each asset class should be based upon an investor’s current time horizon (the length of time between today and when they intend to start spending money in the account - in this case, retirement age) and risk tolerance, which is the level of risk an investor is comfortable accepting Therefore, a younger person with a longer time horizon would generally be more comfortable with a large portion of their portfolio in stocks, while someone closer to retirement would begin to favor the greater stability of bonds. Therefore, it’s generally advisable to allocate a greater percentage of your portfolio to stocks during the early years of your career, and then gradually reduce the allocation stocks while increasing your allocation to bonds as you near your planned retirement age. Finally, the cash asset class should be added when an investor gets very close to retirement, and this lower-risk asset class will continue to be attractive during one’s retirement years.

The pie charts shown here provide an example of how the average investor, with a planned retirement age of 65, might allocate their investments. These allocation models are based purely upon time horizon, so it should be noted that an investor may wish to be more aggressive or conservative than these models when factoring their personal tolerance for investment risk.

mutual fund asset classes

three step process

getting there:creating and managing your own mix of investments

lowe

r

risk

hi

gher

lowe

r

return

hi

gher

what is diversification?

Remember, asset allocation is the percentage of your portfolio that is allocated to each of the three major asset classes, and diversification is how you divide assets within one or more of the three major asset classes. Ultimately, the primary purpose of diversification is to reduce risk in your overall portfolio. For example, if you decided to allocate 70% of your portfolio to stocks, you would not want to invest the entire 70% in a single stock, because 70% of your portfolio would be subject to the success or failure of one company. Instead, you could substantially reduce risk by diversifying your allocation to stocks among many different companies, with different characteristics, operating in several different industries/markets.

mutual funds

One the most common methods of diversifying is to invest in mutual funds. These are investment companies that combine the assets of many individual and institutional investors into a single pool, which is invested into several, often hundreds, of different securities (stocks, bonds, etc.). Individual investors benefit by accessing the expertise and resources of a team of investment professionals who make all of the investment management decisions, and their investments are immediately diversified. Investors further benefit by sharing the investment management and operating expenses of mutual funds, which are spread across all of the fund’s investors.

Every mutual fund has a stated investment objective that provides potential investors with information about the types of investments, management style and risk/reward characteristics of the fund. There are over 20,000 mutual funds available that offer a wide variety of risk and return characteristics based upon the types of investments and particular investment strategies of each fund. The table shown here illustrates the risk and reward characteristics of various types of mutual fund strategies.

Mutual funds with more aggressive investment strategies may offer potential higher investment returns, along with an increased risk of losing value. Likewise, funds with more conservative investment strategies offer greater protection from severe losses while limiting the expected investment return.

step one: asset allocation

Remember the first, and most important step is to determine an appropriate allocation of your portfolio based upon your time horizon and risk tolerance. Younger investors should have greater allocations to stocks, while those closer to retirement will want to favor the bond and cash asset classes.

step two: diversification (choose your funds)

Your retirement plan offers a broad range of investments to choose from, which provides you with the ability to have a diverse mix of investments by adding funds from several asset classes to your portfolio. You can find more detailed information about each of the funds offered in your retirement plan in the next section of this guide.

step three: monitor and manage your portfolio

You will want to periodically review your investment mix and make adjustments so that your allocation gradually becomes more conservative as you near your anticipated retirement age. Additionally, you should periodically rebalance your portfolio so that it doesn’t become more aggressive than you intended.

small company stocks

foreign company stocks

large company stocks

corporate bonds

government bonds

cash & equivalents

getting there:

To qualify for tax-free withdrawals, your money must remain in the account for five years and you must have reached age 59 1/2. Unlike Roth IRAs, there is no income limit for those who contribute to Roth 403(b).

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getting there:

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Do-It-Yourself

https://investlink.

structions regarding s Participant User Interface Guide

getting there:

Risk Assessment Questionnaire

To help you select an Asset Allocation Model Portfolio that is appropriate for your personal financial situation, please answer the following questions:

1. How do you rate your willingness to take financial risks?

A. Very low risk taker.

B. Low risk taker.

C. Average risk taker.

D. High risk taker.

E. Very high risk taker.

2. Do you ever invest a large sum in an investment mainly for the "thrill" of seeing whether it goes up or down in value?

A. No.

B. Yes, very rarely.

C. Yes, somewhat rarely.

D. Yes, somewhat frequently.

E. Yes, very frequently.

3. Which would you choose, a job with more security with a small pay increase or a job with less security and a big pay

increase?

A. Definitely more job security.

B. Probably more job security.

C. Not sure.

D. Probably big pay increase.

E. Definitely big pay increase.

4. When faced with a major financial decision, are you more concerned with the possible losses or the possible gains?

A. Always the possible losses.

B. Usually the possible losses.

C. About the same for both.

D. Usually the possible gains.

E. Always the possible gains.

5. If you had a job where you could choose whether to be paid salary, commission or a mix of both, which would you pick?

A. All salary.

B. Mainly salary.

C. Equal of salary and commission.

D. Mainly commission.

E. All commission.

6. How much confidence do you have in your ability to make good financial decisions?

A. None.

B. A little.

C. A reasonable amount.

D. A great deal.

E. Complete.

7. Experts often say you should be prepared to weather a downturn. By how much could the total value of all your investments

go down before you would begin to feel uncomfortable?

A. Any fall would be uncomfortable.

B. 10%.

C. 25%.

D. 50%.

E. More than 50%.

8. Assume you inherit a $200,000 house. Renovations of $50,000 could increase the worth to $400,000. There are talks a

highway may be built next to the house which could drop its value. You would…

(Note: there is no ‘A’ or ‘E’ answer options)

B. Sell it as is.

C. Keep it as is, but rent it out.

D. Renovate and try to sell it.

9. Most investment portfolios have a spread of investments. Which spread of investments do you find most appealing from

below? (high risk/return(H) - mid risk/return(M) - low risk/return(L))

A. 0%H - 30%M - 70%L.B. 10%H - 40%M - 50%L.C. 30%H - 40%M - 30%L.D. 50%H - 40%M - 10%L.E. 70%H - 30%M - 0%L.

10. Which is more important, investments with fixed value which lose purchase power due to inflation, or investments that vary

in value which should increase more than inflation over time?

A. Mostly for a fixed value.

B. Somewhat for a fixed value.

C. About the same importance.

D. Somewhat for purchase power.

E. Mostly for purchase power.

11. In recent years, how have you changed your investments?

A. Mostly toward lower risk.

B. Some toward lower risk.

C No substantial changes.

D. Some toward higher risk.

E. Mostly toward higher risk.

12. Investments which produce above-average returns are usually above-average risk. How much of your available investment

funds would you be willing to place in investments like this?

A. None.

B. 25%.

C. 50%.

D. 75%.

E. 100%.

13. If you borrowed a large sum of money, how would you choose to finance; a variable interest rate that will change with the

market, a fixed rate at 1% above current variable rate, or a mix of each?

A. 100% variable.

B. 75% variable, 25% fixed.

C. 50% variable, 50% fixed.

D. 25% variable, 75% fixed.

E. 100% fixed.

14. Your investment objective and risk tolerance summarize how you wish to invest in order to achieve your goals. Asking

yourself “What do I want most to accomplish?”, select the best fit objective.

A. Preserving my account.B. Regular returns I can count on.C. Some income and growth over time. D. Growing my account.E. Maximum account growth.

15. I am comfortable with investments that may go down in value from time to time, if they offer the potential for higher returns.

A. Strongly disagree.B. Disagree.C. Somewhat agree.D. Agree.E. Strongly Agree.

16. Your investment time horizon is an important variable to consider when building a financial strategy.

How long will it be before you begin making withdrawals?

A. 0-1 Year.B. 1-2 Years.C. 2-5 Years.D. 5-10 Years.E. More than 10 Years.

17. Once you retire and start taking income from your investments, how long will your money need to last?

A. Take lump sum immediately. B. Less than 1 year.C. 1-5 Years.D. 6-10 Years.E. 11 Years or more.

18. How long could you cover monthly living expenses with cash and short-term liquid investment you currently have on

hand? (Checking, Savings, under the mattress, etc.)

A. 1 Month or less. B. 1-3 Months.C. 3-6 Months.D. 6-12 Months.E. 12 Months or more.

19. How much of this investment do you think will be needed for your retirement?

A. None.B. Some, but not much. C. About half.D. Most of it.E. All of it.

20. Knowing the value of my portfolio will fluctuate, the maximum loss in any one-year period that I am willing to acceptbefore changing my investment strategy is (assuming you start with $100,000)?

A. 0% (portfolio = $100,000). B. 5% (portfolio = $95,000). C. 10% (portfolio = $90,000)D. 20% (portfolio = $80,000). E. 30% (portfolio = $70,000).

Use the legend below to mark points for each question. Total your results.

A B C D E

1 2 3 4 5

1 2 3 4

5 6 7 8

9 10 11 12

13 14 15 16

17 18 19 20

Total:

You can use your total score as a guide toward your personal investment objective. You can use your score to help

decide which of the portfolios you would like to utilize.

Conservative Moderate

Conservative Moderate

Moderate

Aggressive Aggressive

21-39 40-55 56-65 66-80 81-99


Model Portfolios 1. Conservative Portfolio 2. Moderate Conservative Portfolio

3. Moderate Portfolio

The models above depict ways to actively control an investment mix by diversifying across very distinct asset classes. Keep in mind that the models serve only as a guide and are based on a normal retirement age. Each investor has the ability to customize his/her portfolio to his/her own particular objectives. Your final decision on asset allocation is based on your individual situation, needs, goals and aversion to risk. If any of these factors change, you should review your investment allocation. The investment return and principal value of many investment options will fluctuate so that an investor’s units, when redeemed, may be worth more or less than the original cost.

4. Moderate Aggressive Portfolio

Aggressive Portfolio5.a

1. Conservative Portfolio

g 6% American Funds Europacific Growth R6 g 2% Columbia Mid Cap Index R5g 3% Columbia Small Cap Index R5g 3% Lazard Emerging Markets Equity Instl g 3% Nuveen Real Estate Securities R6g 2% PIMCO Commodity Real Ret Strat Instl g 58% Prudential Guaranteed Income g 3% T. Rowe Price High-Yieldg 5% Templeton Global Bond R6g 6% Vanguard 500 Index Admiralg 3% Vanguard Long-Term Treasury Admiral g 6% Vanguard Total Bond Market Index Admiral

2. Moderate Conservative Portfolio


3. Moderate Portfolio


4. Moderate Aggressive Portfolio

g 23% American Funds Europacific Growth R6 g 8% Columbia Mid Cap Index R5g 8% Columbia Small Cap Index R5g 10% Lazard Emerging Markets Equity Instl g 8% Nuveen Real Estate Securities R6g 4% PIMCO Commodity Real Ret Strat Instl g 4% Prudential Guaranteed Incomeg 1% T. Rowe Price High-Yieldg 8% Templeton Global Bond R6g 19% Vanguard 500 Index Admiralg 6% Vanguard Long-Term Treasury Admiral g 1% Vanguard Total Bond Market Index Admiral

The models above depict ways to actively control an investment mix by diversifying across very distinct asset classes. Keep in mind that the models serve only as a guide and are based on a normal retirement age. Each investor has the ability to customize his/her portfolio to his/her own particular objectives. Your final decision on asset allocation is based on your individual situation, needs, goals and aversion to risk. If any of these factors change, you should review your investment allocation. The investment return and principal value of many investment options will fluctuate so that an investor’s units, when redeemed, may be worth more or less than the original cost.

5. Aggressive Portfolio

g 26% American Funds Europacific Growth R6 g 9% Columbia Mid Cap Index R5g 15% Columbia Small Cap Index R5g 21% Lazard Emerging Markets Equity Instl g 7% Nuveen Real Estate Securities R6g 3% PIMCO Commodity Real Ret Strat Instl g 1% Prudential Guaranteed Income g 3% Templeton Global Bond R6g 14% Vanguard 500 Index Admiralg 1% Vanguard Long-Term Treasury Admiral


Model Portfolio Funds

Release Date: 06-30-2019

American Funds Europacific Growth R6 RERGX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMSCI ACWI Ex USA Growth NR USD

Overall Morningstar Rating™ Morningstar Return Morningstar Risk

QQQ Average AverageOut of 396 Foreign Large Growth funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.

Investment Objective & StrategyFrom investment’s prospectus

The investment seeks long-term growth of capital.The fund invests primarily in common stocks of issuers in

Europe and the Pacific Basin that the investment adviser believes have the potential for growth. Growth stocks are stocks that the investment adviser believes have the potential for above-average capital appreciation. It normally will invest at least 80% of its net assets in securities of issuers in Europe and the Pacific Basin. The fund may invest a portion of its assets in common stocks and other securities of companies in emerging markets.

Fees and Expenses as of 06-01-19

Prospectus Net Expense Ratio 0.49%Total Annual Operating Expense 0.49%Maximum Sales Charge .12b-1 Fee .Redemption Fee/Term .

Waiver Data Type Exp. Date %

. . . .

Operations and Management

Initial Class Inception Date 04-16-84Fund Inception Date 05-01-09Portfolio Manager(s) Mark E. Denning

Carl M. KawajaName of Issuer American FundsTelephone 800-421-4225Web Site www.americanfunds.com

Benchmark Description: MSCI ACWI Ex USA Growth NR USD

The index measures the performance of the growth large andmid cap segments of the particular regions, excluding USAequity securities, including developed and emerging market.It is free float-adjusted market-capitalization weighted.

Category Description: Foreign Large Growth

Foreign large-growth portfolios focus on high-priced growthstocks, mainly outside of the United States. Most of theseportfolios divide their assets among a dozen or moredeveloped markets, including Japan, Britain, France, andGermany. These portfolios primarily invest in stocks that havemarket caps in the top 70% of each economically integratedmarket (such as Europe or Asia ex-Japan). Growth is definedbased on fast growth (high growth rates for earnings, sales,book value, and cash flow) and high valuations (high priceratios and low dividend yields). These portfolios typically willhave less than 20% of assets invested in U.S. stocks.

Performance

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YTD YTD YTD YTD YTD YTD

Total Return%as of 06-30-19

InvestmentBenchmark

Average annual, if greaterthan 1 year.

YTD 1 Year 3 Year 5 Year 10 Year Since Inception17.59 1.91 10.84 4.45 8.15 9.05 Fund Return %17.59 1.91 10.84 4.45 8.15 9.05 Load-Adj. Return %17.20 2.64 9.81 4.00 7.61 8.71 Benchmark Return %18.29 2.25 9.63 4.09 8.20 8.98 Category Average %........................................................................................................................................................................................................... . QQQQ QQQ QQQ . Morningstar Rating™. . 396 336 247 . # of Funds in Category

Quarter End Returns as of 06-30-19 YTD 1 Year 3 Year 5 Year 10 Year Since Inception

Fund Return % 17.59 1.91 10.84 4.45 8.15 9.05Standardized Return % 17.59 1.91 10.84 4.45 8.15 9.05

Performance Disclosure: The performance data quoted represents past performance and does not guarantee futureresults. The investment return and principal value of an investment will fluctuate; thus an investor’s shares, whenredeemed, may be worth more or less than their original cost. Current performance may be lower or higher thanreturn data quoted herein. For performance data current to the most recent month-end please visit the websitelisted under Operations and Management on this page.

Portfolio Analysis as of 03-31-19Composition as of 03-31-19 % Assets

U.S. Stocks 1.3Non-U.S. Stocks 92.2Bonds 0.2Cash 6.1Other 0.1

Morningstar Equity Style Box™ as of 03-31-19 % Mkt Cap

LargeM

idSm

all

Value Blend Growth

Giant 63.30........................................................Large 26.88Medium 9.61Small 0.18........................................................Micro 0.03

Top 10 Holdings as of 03-31-19 % Assets

AIA Group Ltd 2.88Airbus SE 2.72Alibaba Group Holding Ltd ADR 2.49Reliance Industries Ltd 2.47HDFC Bank Ltd 2.40.......................................................................................................Samsung Electronics Co Ltd 1.99Nintendo Co Ltd 1.65Vale SA ADR 1.49Tencent Holdings Ltd 1.46ASML Holding NV 1.40

.......................................................................................................Total Number of Stock Holdings 323Total Number of Bond Holdings 8Annual Turnover Ratio % 35.00Total Fund Assets ($mil) 161,660.47

Morningstar World Regions as of 03-31-19 % Fund S&P 500

Americas 11.50 99.01........................................................................................................North America 5.48 99.01Latin America 6.02 0.00

Greater Europe 39.32 0.94........................................................................................................United Kingdom 10.09 0.58Europe Developed 26.90 0.32Europe Emerging 0.69 0.04Africa/Middle East 1.63 0.00

Greater Asia 49.18 0.05........................................................................................................Japan 13.63 0.00Australasia 0.90 0.00Asia Developed 13.03 0.05Asia Emerging 21.62 0.00

Principal Risks as of 03-31-19Emerging Markets, Foreign Securities, Long-Term Outlook and Projections, Loss of Money, Not FDIC Insured, Growth Investing,Active Management, Issuer, Market/Market Volatility

©2019 Morningstar, Inc., Morningstar Investment Profiles™ 312-696-6000. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) maynot be copied or distributed and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use ofinformation. Past performance is no guarantee of future performance. Visit our investment website at www.morningstar.com ß

®


Artisan Mid Cap Institutional APHMX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell Mid Cap Growth TR USD


QQQQ Above Average AverageOut of 539 Mid-Cap Growth funds. An investment's overall Morningstar Rating, based on its risk-adjusted return,is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks maximum long-term capital growth.The fund normally invests no less than 80% of its net

assets plus any borrowings for investment purposes at market value at the time of purchase in the common stocks of medium-sized companies. It defines a medium-sized company as one with a market capitalization greater than the market capitalization of the smallest company in the Russell Midcap® Index and less than three times the weighted average market capitalization of companies in the index.




. . . .


Fund Inception Date 07-03-00Portfolio Manager(s) Matthew H. Kamm, CFA

James D. Hamel, CFAName of Issuer ArtisanTelephone 866-773-7233Web Site www.artisanfunds.com

Benchmark Description: Russell Mid Cap Growth TR USD

The index measures the performance of the mid-cap growthsegment of the US equity universe. It includes Russell midcapindex companies with higher price-to-book ratios and higherforecasted growth values. It is market-capitalizationweighted. Russell Investment Group is the source and ownerof the trademarks, service marks and copyrights related tothe Russell Indexes. Russell® is a trademark of RussellInvestment Group.

Category Description: Mid-Cap Growth

Some mid-cap growth portfolios invest in stocks of all sizes,thus leading to a mid-cap profile, but others focus on midsizecompanies. Mid-cap growth portfolios target U.S. firms thatare projected to grow faster than other mid-cap stocks,therefore commanding relatively higher prices. The U.S. mid-cap range for market capitalization typically falls between $1billion and $8 billion and represents 20% of the totalcapitalization of the U.S. equity market. Growth is definedbased on fast growth (high growth rates for earnings, sales,book value, and cash flow) and high valuations (high priceratios and low dividend yields).

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception34.12 19.76 16.55 10.40 15.99 8.78 Fund Return %34.12 19.76 16.55 10.40 15.99 8.78 Load-Adj. Return %26.08 13.94 16.49 11.11 16.02 5.86 Benchmark Return %24.97 9.88 15.59 9.78 14.53 4.71 Category Average %..........................................................................................................................................................................................................

. . QQQ QQQ QQQQ . Morningstar Rating™

. . 539 484 367 . # of Funds in Category







LargeM

idSm

all

Value Blend Growth



Global Payments Inc 5.25Atlassian Corporation PLC A 4.28Veeva Systems Inc Class A 3.90IHS Markit Ltd 3.71Progressive Corp 3.47.......................................................................................................Worldpay Inc Class A 3.34Boston Scientific Corp 3.19Tableau Software Inc A 3.05Roper Technologies Inc 2.71Harris Corp 2.45


Morningstar Sectors as of 03-31-19 % Fund S&P 500 %

h Cyclical 20.61 33.24........................................................................................................r Basic Materials 1.16 2.46t Consumer Cyclical 11.55 12.21y Financial Services 7.90 15.89u Real Estate 0.00 2.68

j Sensitive 58.73 41.61........................................................................................................i Communication Services 0.00 3.48o Energy 0.00 5.05p Industrials 20.38 10.10a Technology 38.35 22.98

k Defensive 20.65 25.14........................................................................................................s Consumer Defensive 0.51 7.73d Healthcare 20.14 14.10f Utilities 0.00 3.31

Principal Risks as of 03-31-19Currency, Foreign Securities, Loss of Money, Not FDIC Insured, Growth Investing, Market/Market Volatility, Other, ShareholderActivity, Management, Portfolio Diversification, Small Cap, Mid-Cap


®


Columbia Mid Cap Index Inst2 CPXRX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell Mid Cap TR USD


QQQQ Above Average Above AverageOut of 362 Mid-Cap Blend funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, isa weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks total return before fees and expenses that corresponds to the total return of the Standard & Poor's (S&P) MidCap 400® Index.

The fund invests at least 80% of its net assets (including the amount of any borrowings for investment purposes) in common stocks that comprise the S&P MidCap 400 Index. In seeking to match the performance of the index, the Investment Manager attempts to allocate the fund's assets among common stocks in approximately the same weightings as the index. The manager attempts to achieve at least a 95% correlation between the performance of the index and the fund's investment results, before fees and expenses.


Prospectus Net Expense Ratio 0.20%Total Annual Operating Expense 0.27%Maximum Sales Charge .12b-1 Fee 0.00%Redemption Fee/Term .


ExpenseRatio Contractual 06-30-20 0.07


Initial Class Inception Date 03-31-00Fund Inception Date 11-08-12Portfolio Manager(s) Christopher Lo, CFA

Vadim ShteynName of Issuer ColumbiaTelephone 800-345-6611Web Site www.columbiamanagement.com

Benchmark Description: Russell Mid Cap TR USD

The index measures the performance of the mid-cap segmentof the US equity universe. It is a subset of Russell 1000 indexand includes approximately 800 of the smallest securitiesbased on a combination of their market cap and current indexmembership. The index represents approximately 31% of thetotal market capitalization of the Russell 1000 companies.

Category Description: Mid-Cap Blend

The typical mid-cap blend portfolio invests in U.S. stocks ofvarious sizes and styles, giving it a middle-of-the-road profile.Most shy away from high-priced growth stocks but aren't soprice-conscious that they land in value territory. The U.S. mid-cap range for market capitalization typically falls between $1billion and $8 billion and represents 20% of the totalcapitalization of the U.S. equity market. The blend style isassigned to portfolios where neither growth nor valuecharacteristics predominate.

Performance

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InvestmentBenchmark



. . QQQ QQQQ QQQQ . Morningstar Rating™








LargeM

idSm

all

Value Blend Growth



E-mini S&P 400 June19 06-21-19 1.12Columbia Short-Term Cash 12-30-20 0.98IDEX Corp 0.72Domino's Pizza Inc 0.71MarketAxess Holdings Inc 0.70.......................................................................................................Steris PLC 0.70Leidos Holdings Inc 0.68NVR Inc 0.68FactSet Research Systems Inc 0.66Camden Property Trust 0.62






Principal Risks as of 05-31-19Loss of Money, Not FDIC Insured, Index Correlation/Tracking Error, Issuer, Market/Market Volatility, Futures, Industry and SectorInvesting, Derivatives, Passive Management, Real Estate/REIT Sector


®


Columbia Small Cap Index Inst2 CXXRX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell 2000 TR USD


QQQQ High Above AverageOut of 633 Small Blend funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is aweighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks total return before fees and expenses that corresponds to the total return of the Standard & Poor's (S&P) SmallCap 600® Index.

Under normal circumstances, the fund invests at least 80% of its net assets (including the amount of any borrowings for investment purposes) in common stocks that comprise the S&P SmallCap 600 Index. The Investment Manager attempts to achieve at least a 95% correlation between the performance of the index and the fund's investment results, before fees and expenses. The fund may invest in derivatives, such as futures (including equity index futures), for cash equitization purposes.




. . . .


Initial Class Inception Date 10-15-96Fund Inception Date 11-08-12Portfolio Manager(s) Christopher Lo, CFA

Vadim ShteynName of Issuer ColumbiaTelephone 800-345-6611Web Site www.columbiamanagement.com

Benchmark Description: Russell 2000 TR USD

The index measures the performance of the small-capsegment of the US equity universe. It is a subset of theRussell 3000 and includes approximately 2000 of the smallestsecurities based on a combination of their market cap andcurrent index membership. Russell Investment Group is thesource and owner of the trademarks, service marks andcopyrights related to the Russell Indexes. Russell® is atrademark of Russell Investment Group.

Category Description: Small Blend

Small-blend portfolios favor U.S. firms at the smaller end ofthe market-capitalization range. Some aim to own an array ofvalue and growth stocks while others employ a discipline thatleads to holdings with valuations and growth rates close tothe small-cap averages. Stocks in the bottom 10% of thecapitalization of the U.S. equity market are defined as smallcap. The blend style is assigned to portfolios where neithergrowth nor value characteristics predominate.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception13.67 -5.03 11.78 8.18 14.76 13.36 Fund Return %13.67 -5.03 11.78 8.18 14.76 13.36 Load-Adj. Return %16.98 -3.31 12.30 7.06 13.45 12.33 Benchmark Return %15.74 -3.76 10.09 5.65 12.70 10.76 Category Average %..........................................................................................................................................................................................................

. . QQQ QQQQ QQQQQ . Morningstar Rating™



Fund Return % 13.67 -5.03 11.78 8.18 14.76 13.36Standardized Return % 13.67 -5.03 11.78 8.18 14.76 13.36





LargeM

idSm

all

Value Blend Growth



Columbia Short-Term Cash 12-30-20 1.27E-mini Russell 2000 Index Futures 06-21-19 1.07iShares Core S&P Small-Cap ETF 0.94Selective Insurance Group Inc 0.60FirstCash Inc 0.59.......................................................................................................Axon Enterprise Inc 0.56Strategic Education Inc 0.54Mercury Systems Inc 0.53Tetra Tech Inc 0.53RLI Corp 0.48






Principal Risks as of 05-31-19Loss of Money, Not FDIC Insured, Index Correlation/Tracking Error, Issuer, Market/Market Volatility, Futures, Industry and SectorInvesting, Derivatives, Passive Management


®


DFA Inflation-Protected Securities I DIPSX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkBBgBarc US Treasury US TIPS TR USD


QQQQQ High Above AverageOut of 193 Inflation-Protected Bond funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide inflation protection and earn current income consistent with inflation-protected securities.

As a non-fundamental policy, under normal circumstances, the Portfolio will invest at least 80% of its net assets in inflation-protected securities. Inflation-protected securities (also known as inflation-indexed securities) are securities whose principal and/or interest payments are adjusted for inflation, unlike conventional debt securities that make fixed principal and interest payments.




. . . .


Fund Inception Date 09-18-06Portfolio Manager(s) David A. Plecha

Joseph F. KolerichName of Issuer Dimensional Fund AdvisorsTelephone 888-576-1167Web Site www.dimensional.com

Benchmark Description: BBgBarc US Treasury US TIPS TR USD

The index measures the performance of rules-based, marketvalue-weighted inflation-protected securities issued by theU.S. Treasury. It is a subset of the Global Inflation-LinkedIndex (Series-L).

Category Description: Inflation-Protected Bond

Inflation-protected bond portfolios invest primarily in debtsecurities that adjust their principal values in line with therate of inflation. These bonds can be issued by anyorganization, but the U.S. Treasury is currently the largestissuer for these types of securities.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception6.82 5.81 2.18 1.89 3.90 4.19 Fund Return %6.82 5.81 2.18 1.89 3.90 4.19 Load-Adj. Return %6.15 4.84 2.08 1.76 3.64 4.01 Benchmark Return %5.80 4.11 1.92 1.22 3.14 3.16 Category Average %........................................................................................................................................................................................................... . QQQQ QQQQQ QQQQQ . Morningstar Rating™. . 193 165 101 . # of Funds in Category






Morningstar Fixed Income Style Box™ as of 03-31-19

HighM

edLow

Ltd Mod Ext

Avg Eff Duration 7.31Avg Eff Maturity 7.76Avg Wtd Price 108.82


United States Treasury Notes 0.38% 01-15-27 11.08United States Treasury Notes 0.62% 01-15-26 10.17United States Treasury Notes 0.38% 07-15-27 9.97United States Treasury Notes 0.12% 07-15-26 8.70United States Treasury Notes 0.25% 01-15-25 8.19.......................................................................................................United States Treasury Bonds 3.88% 04-15-29 6.89United States Treasury Notes 0.38% 07-15-25 6.86United States Treasury Bonds 2% 01-15-26 6.43United States Treasury Bonds 2.38% 01-15-25 6.06United States Treasury Bonds 1.75% 01-15-28 6.01


Morningstar Sectors as of 05-31-19 % Fund % Category

⁄ Government 99.99 67.32› Corporate 0.00 6.57€ Securitized 0.00 8.51‹ Municipal 0.00 0.25fi Cash/Cash Equivalents 0.01 9.21± Other 0.00 8.14

Credit Analysis as of 03-31-19 % Bonds

-100 -50 0 50 100

AAA 100AA 0A 0BBB 0BB 0B 0Below B 0Not Rated 0

Principal Risks as of 05-31-19Lending, Credit and Counterparty, Inflation-Protected Securities, Loss of Money, Not FDIC Insured, Income, Interest Rate, Market/Market Volatility, Other, Restricted/Illiquid Securities, Tax Management, Derivatives


®


Fidelity Advisor® Small Cap Value I FCVIX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell 2000 Value TR USD


QQQQ Above Average Below AverageOut of 379 Small Value funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is aweighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks capital appreciation.The fund invests primarily in common stocks. It invests at

least 80% of assets in securities of companies with small market capitalizations. The fund invests in securities of companies that Fidelity Management & Research Company (FMR) believes are undervalued in the marketplace in relation to factors such as assets, sales, earnings, growth potential, or cash flow, or in relation to securities of other companies in the same industry (stocks of these companies are often called "value" stocks). It invests in domestic and foreign issuers.




. . . .


Fund Inception Date 11-03-04Portfolio Manager(s) Derek Janssen

Clint LawrenceName of Issuer Fidelity InvestmentsTelephone 877-208-0098Web Site www.institutional.fidelity.com

Benchmark Description: Russell 2000 Value TR USD

The index measures the performance of small-cap valuesegment of the US equity universe. It includes those Russell2000 companies with lower price-to-book ratios and lowerforecasted growth values. It is market-capitalizationweighted. Russell Investment Group is the source and ownerof the trademarks, service marks and copyrights related tothe Russell Indexes. Russell® is a trademark of RussellInvestment Group.

Category Description: Small Value

Small-value portfolios invest in small U.S. companies withvaluations and growth rates below other small-cap peers.Stocks in the bottom 10% of the capitalization of the U.S.equity market are defined as small cap. Value is definedbased on low valuations (low price ratios and high dividendyields) and slow growth (low growth rates for earnings, sales,book value, and cash flow).

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception12.78 -4.39 7.52 5.70 12.94 9.89 Fund Return %12.78 -4.39 7.52 5.70 12.94 9.89 Load-Adj. Return %13.47 -6.24 9.81 5.39 12.40 7.19 Benchmark Return %12.92 -8.05 7.69 3.59 11.65 6.98 Category Average %..........................................................................................................................................................................................................

. . QQQ QQQQ QQQQ . Morningstar Rating™



Fund Return % 12.78 -4.39 7.52 5.70 12.94 9.89Standardized Return % 12.78 -4.39 7.52 5.70 12.94 9.89





LargeM

idSm

all

Value Blend Growth



Corporate Office Properties Trust 2.26Gray Television Inc 2.24Taylor Morrison Home Corp Class A 2.24First American Financial Corp 2.17First Citizens BancShares Inc (DE) Class A 2.17.......................................................................................................BJ's Wholesale Club Holdings Inc 2.09WSFS Financial Corp 2.07Moog Inc A 2.06Fidelity Revere Str Tr 2.02Enstar Group Ltd 2.01






Principal Risks as of 04-30-19Foreign Securities, Loss of Money, Not FDIC Insured, Value Investing, Issuer, Market/Market Volatility, Equity Securities, SmallCap


®


Franklin Small Cap Growth R6 FSMLX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell 2000 Growth TR USD


QQ Average Above AverageOut of 583 Small Growth funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, isa weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks long-term capital growth.The fund invests at least 80% of its net assets in the

equity securities of small-cap companies. The equity securities in which the fund invests are predominantly common stock. Small-cap companies are companies with market capitalizations not exceeding (i) $1.5 billion or (ii) the highest market capitalization in the Russell 2000® Index, whichever is greater, at the time of purchase. It may invest in equity securities of larger companies. The fund, from time to time, may have significant positions in particular sectors such as information technology, industrials, consumer discretionary and healthcare.






Initial Class Inception Date 05-01-00Fund Inception Date 05-01-13Portfolio Manager(s) Michael McCarthy, CFA

Bradley T. Carris, CFAName of Issuer Franklin Templeton InvestmentsTelephone 800-342-5236Web Site www.franklintempleton.com

Benchmark Description: Russell 2000 Growth TR USD

The index measures the performance of small-cap growthsegment of the US equity universe. It includes those Russell2000 companies with higher price-to-value ratios and higherforecasted growth values. It is market-capitalizationweighted. Russell Investment Group is the source and ownerof the trademarks, service marks and copyrights related tothe Russell Indexes. Russell® is a trademark of RussellInvestment Group.

Category Description: Small Growth

Small-growth portfolios focus on faster-growing companieswhose shares are at the lower end of the market-capitalization range. These portfolios tend to favor companiesin up-and-coming industries or young firms in their earlygrowth stages. Because these businesses are fast-growingand often richly valued, their stocks tend to be volatile.Stocks in the bottom 10% of the capitalization of the U.S.equity market are defined as small cap. Growth is definedbased on fast growth (high growth rates for earnings, sales,book value, and cash flow) and high valuations (high priceratios and low dividend yields).

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception25.32 8.60 18.40 8.68 16.51 13.89 Fund Return %25.32 8.60 18.40 8.68 16.51 13.89 Load-Adj. Return %20.36 -0.49 14.69 8.63 14.41 12.07 Benchmark Return %21.82 3.22 16.12 9.18 14.47 11.98 Category Average %..........................................................................................................................................................................................................

. . QQQ QQ QQQQ . Morningstar Rating™








LargeM

idSm

all

Value Blend Growth



Franklin IFT Money Market 1.91Grand Canyon Education Inc 1.73Allegiant Travel Co 1.49Mercury Systems Inc 1.49Nevro Corp 1.48.......................................................................................................Array BioPharma Inc 1.47Iovance Biotherapeutics Inc 1.47Silicon Laboratories Inc 1.47Viasat Inc 1.46Cubic Corp 1.44






Principal Risks as of 05-31-19Loss of Money, Not FDIC Insured, Growth Investing, Active Management, Market/Market Volatility, Restricted/Illiquid Securities,Portfolio Diversification, Small Cap


®


Templeton Global Bond R6 FBNRX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkBBgBarc Global Aggregate TR USD


QQQQ Above Average AverageOut of 192 World Bond funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is aweighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks current income with capital appreciation and growth of income.

Under normal market conditions, the fund invests at least 80% of its net assets in "bonds." Bonds include debt obligations of any maturity, such as bonds, notes, bills and debentures. It invests predominantly in bonds issued by governments, government-related entities and government agencies located around the world. The fund may invest up to 25% of its total assets in bonds that are rated below investment grade or, if unrated determined by the investment manager to be of comparable quality. It is non-diversified.






Initial Class Inception Date 09-18-86Fund Inception Date 05-01-13Portfolio Manager(s) Michael J. Hasenstab

Calvin HoName of Issuer Franklin Templeton InvestmentsTelephone 800-342-5236Web Site www.franklintempleton.com

Benchmark Description: BBgBarc Global Aggregate TR USD

The index measures the performance of global investmentgrade fixed-rate debt markets, including the U.S. Aggregate,the Pan-European Aggregate, the Asian-Pacific Aggregate,Global Treasury, Eurodollar, Euro-Yen, Canadian, andInvestment Grade 144A index-eligible securities.

Category Description: World Bond

World bond portfolios typically invest 40% or more of theirassets in fixed-income instruments issued outside of the U.S.These portfolios invest primarily in investment-grade ratedissues, but their strategies can vary. Some follow aconservative approach, sticking with high-quality bonds fromdeveloped markets. Others are more adventurous, owningsome lower-quality bonds from developed or emergingmarkets. Some portfolios invest exclusively outside the U.S.,while others invest in both U.S. and non-U.S. bonds. Manyconsistently maintain significant allocations to non-U.S. dollarcurrencies, while others have the flexibility to make sizeableadjustments between their U.S. dollar and non-U.S. currencyexposures.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception2.82 5.69 4.73 1.65 4.88 1.78 Fund Return %2.82 5.69 4.73 1.65 4.88 1.78 Load-Adj. Return %5.57 5.85 1.62 1.20 2.89 1.44 Benchmark Return %5.43 5.02 2.20 0.58 3.11 1.38 Category Average %........................................................................................................................................................................................................... . QQQQQ QQQQ QQQQ . Morningstar Rating™. . 192 181 110 . # of Funds in Category







Not

Available

Avg Eff Duration -2.21Avg Eff Maturity 1.82Avg Wtd Price .


Franklin IFT Money Market 25.12Mexico (United Mexican States) 8% 06-11-20 8.26Mexico (United Mexican States) 6.5% 06-10-21 4.27Brazil (Federative Republic) 10% 01-01-23 3.78Brazil (Federative Republic) 10% 01-01-21 2.91.......................................................................................................United States Treasury Bills 0% 09-26-19 2.40Secretaria Tesouro Nacional 0% 07-01-20 2.33India (Republic of) 8.83% 11-25-23 1.98Secretaria Tesouro Nacional 0% 01-01-20 1.71Indonesia (Republic of) 9.5% 07-15-23 1.53





-100 -50 0 50 100

AAA 17AA 7A 19BBB 29BB 18B 10Below B 0Not Rated -1

Principal Risks as of 03-31-19Credit and Counterparty, Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Country or Region,Nondiversification, Active Management, Income, Interest Rate, Market/Market Volatility, High-Yield Securities, Restricted/IlliquidSecurities, Derivatives, Sovereign Debt, Cash Drag, Management


®


Harbor Capital Appreciation Instl HACAX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell 1000 Growth TR USD


QQQQ Above Average Above AverageOut of 1235 Large Growth funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, isa weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks long-term growth of capital.The fund invests primarily in equity securities, principally

common and preferred stocks, of U.S. companies with market capitalizations of at least $1 billion at the time of purchase and that the Subadviser considers to have above average prospects for growth. The stocks of mid and large cap companies in the fund's portfolio are those the Subadviser expects to maintain or achieve above average earnings growth. The fund may invest up to 20% of its total assets in the securities of foreign issuers, including issuers located or doing business in emerging markets.




ManagementFee Contractual 02-29-20 0.05


Fund Inception Date 12-29-87Portfolio Manager(s) Spiros “Sig” Segalas

Kathleen A. McCarragherName of Issuer HarborTelephone 800-422-1050Web Site www.harborfunds.com

Benchmark Description: Russell 1000 Growth TR USD

The index measures the performance of the large-cap growthsegment of the US equity securities. It includes the Russell1000 index companies with higher price-to-book ratios andhigher forecasted growth values. It is market-capitalizationweighted. Russell Investment Group is the source and ownerof the trademarks, service marks and copyrights related tothe Russell Indexes. Russell® is a trademark of RussellInvestment Group.

Category Description: Large Growth

Large-growth portfolios invest primarily in big U.S. companiesthat are projected to grow faster than other large-cap stocks.Stocks in the top 70% of the capitalization of the U.S. equitymarket are defined as large cap. Growth is defined based onfast growth (high growth rates for earnings, sales, bookvalue, and cash flow) and high valuations (high price ratiosand low dividend yields). Most of these portfolios focus oncompanies in rapidly expanding industries.

Performance

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InvestmentBenchmark



. . QQQQ QQQQ QQQQ . Morningstar Rating™








LargeM

idSm

all

Value Blend Growth



Amazon.com Inc 6.31Microsoft Corp 4.66Mastercard Inc A 4.09Salesforce.com Inc 3.79Netflix Inc 3.70.......................................................................................................Visa Inc Class A 3.65Tencent Holdings Ltd 3.35Boeing Co 3.23Alphabet Inc Class C 3.06Alphabet Inc A 3.05






Principal Risks as of 03-31-19Foreign Securities, Loss of Money, Not FDIC Insured, Growth Investing, Issuer, Market/Market Volatility, Equity Securities, Industryand Sector Investing, Preferred Stocks, Management, Mid-Cap, Large Cap


®


Invesco Comstock R6 ICSFX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell 1000 Value TR USD


QQQ Average HighOut of 1103 Large Value funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is aweighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks total return through growth of capital and current income.

The fund invests, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in common stocks, and in derivatives and other instruments that have economic characteristics similar to such securities. It may invest in securities of issuers of any market capitalization; and, a substantial number of the issuers in which the fund invests are large-capitalization issuers. The fund may invest up to 10% of its net assets in real estate investment trusts (REITs).




. . . .


Initial Class Inception Date 10-07-68Fund Inception Date 09-24-12Portfolio Manager(s) Kevin C. Holt, CFA

Devin E. Armstrong, CFAName of Issuer InvescoTelephone 800-959-4246Web Site www.invesco.com

Benchmark Description: Russell 1000 Value TR USD

The index measures the performance of the large-cap valuesegment of the US equity securities. It includes the Russell1000 index companies with lower price-to-book ratios andlower expected growth values. It is market-capitalizationweighted. Russell Investment Group is the source and ownerof the trademarks, service marks and copyrights related tothe Russell Indexes. Russell® is a trademark of RussellInvestment Group.

Category Description: Large Value

Large-value portfolios invest primarily in big U.S. companiesthat are less expensive or growing more slowly than otherlarge-cap stocks. Stocks in the top 70% of the capitalizationof the U.S. equity market are defined as large cap. Value isdefined based on low valuations (low price ratios and highdividend yields) and slow growth (low growth rates forearnings, sales, book value, and cash flow).

Performance

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InvestmentBenchmark



. . QQQQ QQ QQQ . Morningstar Rating™





Portfolio Analysis as of 03-31-19Composition as of 03-31-19 % Net


..........................................................................................-100 -50 0 50 100 Total 100.0


LargeM

idSm

all

Value Blend Growth



Citigroup Inc 4.76Bank of America Corporation 4.30JPMorgan Chase & Co 3.39Cisco Systems Inc 2.47Royal Dutch Shell PLC ADR Class A 2.22.......................................................................................................American International Group Inc 2.20Invesco Shrt-Trm Inv Treasury Instl 2.19Suncor Energy Inc 2.07BP PLC ADR 2.04Chevron Corp 2.01






Principal Risks as of 03-31-19Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Value Investing, Active Management, Market/MarketVolatility, Depositary Receipts, Industry and Sector Investing, Derivatives, Small Cap, Mid-Cap, Real Estate/REIT Sector


®


Lazard Emerging Markets Equity Instl LZEMX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMSCI EM NR USD


QQ Average Above AverageOut of 712 Diversified Emerging Mkts funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks long-term capital appreciation.The fund invests primarily in equity securities, principally

common stocks, of non-U.S. companies whose principal activities are located in emerging market countries and that the Investment Manager believes are undervalued based on their earnings, cash flow or asset values. Under normal circumstances, it invests at least 80% of its assets in equity securities of companies whose principal business activities are located in emerging market countries.




. . . .


Fund Inception Date 07-15-94Portfolio Manager(s) James M. Donald, CFA

John R. ReinsbergName of Issuer LazardTelephone 800-823-6300Web Site www.lazardnet.com

Benchmark Description: MSCI EM NR USD

The index measures the performance of the large and midcap segments of emerging market equity securities. It is freefloat-adjusted market-capitalization weighted.

Category Description: Diversified Emerging Mkts

Diversified emerging-markets portfolios tend to divide theirassets among 20 or more nations, although they tend tofocus on the emerging markets of Asia and Latin Americarather than on those of the Middle East, Africa, or Europe.These portfolios invest predominantly in emerging marketequities, but some funds also invest in both equities and fixedincome investments from emerging markets.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception10.40 2.57 6.99 -0.44 5.42 6.50 Fund Return %10.40 2.57 6.99 -0.44 5.42 6.50 Load-Adj. Return %10.58 1.21 10.66 2.49 5.81 . Benchmark Return %12.06 1.16 8.92 1.71 5.82 5.68 Category Average %........................................................................................................................................................................................................... . QQ Q QQQ . Morningstar Rating™. . 712 560 240 . # of Funds in Category


Fund Return % 10.40 2.57 6.99 -0.44 5.42 6.50Standardized Return % 10.40 2.57 6.99 -0.44 5.42 6.50





LargeM

idSm

all

Value Blend Growth



China Construction Bank Corp Class H 4.57Samsung Electronics Co Ltd 4.50Sberbank of Russia PJSC 3.75Taiwan Semiconductor Manufacturing Co Ltd 3.55Banco do Brasil SA BB Brasil 3.50.......................................................................................................SK Hynix Inc 3.06NetEase Inc ADR 2.80China Mobile Ltd ADR 2.73Axis Bank Ltd 2.47PJSC Lukoil ADR 2.09


Morningstar World Regions as of 03-31-19 % Fund S&P 500

Americas 14.09 99.01........................................................................................................North America 0.00 99.01Latin America 14.09 0.00

Greater Europe 23.49 0.94........................................................................................................United Kingdom 0.00 0.58Europe Developed 0.00 0.32Europe Emerging 14.34 0.04Africa/Middle East 9.15 0.00

Greater Asia 62.42 0.05........................................................................................................Japan 0.00 0.00Australasia 0.00 0.00Asia Developed 22.16 0.05Asia Emerging 40.26 0.00

Principal Risks as of 03-31-19Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Value Investing, Issuer, Market/MarketVolatility, Depositary Receipts, Management, Small Cap, Mid-Cap, Large Cap


®


Nuveen Real Estate Securities R6 FREGX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkS&P United States REIT TR USD


QQQ Average AverageOut of 226 Real Estate funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is aweighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide above average current income and long-term capital appreciation.

The fund normally invests at least 80% of the sum of its net assets and the amount of any borrowings for investment purposes in income-producing common stocks of publicly traded companies engaged in the real estate industry. The advisor expects to emphasize investments in equity REITs, although it may invest in all three kinds of REITs. It may invest up to 15% of its total assets in non-dollar denominated equity securities of non-U.S. issuers. Up to 15% of the fund's total assets may be invested in equity securities of emerging market issuers.




. . . .


Initial Class Inception Date 06-30-95Fund Inception Date 04-30-13Portfolio Manager(s) Jay L. Rosenberg

Scott C. SedlakName of Issuer NuveenTelephone 800-257-8787Web Site www.nuveen.com

Benchmark Description: S&P United States REIT TR USD

The index measures the performance of investable universeof pubilcly traded real estate investment trusts domiciled inthe United States.

Category Description: Real Estate

Real estate portfolios invest primarily in real estateinvestment trusts of various types. REITs are companies thatdevelop and manage real estate properties. There are severaldifferent types of REITs, including apartment, factory-outlet,health-care, hotel, industrial, mortgage, office, and shoppingcenter REITs. Some portfolios in this category also invest inreal estate operating companies.

Performance

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40

0

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InvestmentBenchmark











LargeM

idSm

all

Value Blend Growth



Simon Property Group Inc 6.94Public Storage 4.81Prologis Inc 4.55Equinix Inc 4.00Ventas Inc 3.97.......................................................................................................Duke Realty Corp 3.88AvalonBay Communities Inc 3.86Boston Properties Inc 3.64Digital Realty Trust Inc 3.04Welltower Inc 2.74






Principal Risks as of 04-30-19Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDIC Insured, Active Management, High Portfolio Turnover,Equity Securities, Other, Derivatives, Small Cap, Mid-Cap, Real Estate/REIT Sector


®


PIMCO Commodity Real Ret Strat Instl PCRIX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lng-Only Cmdty TR USD


QQQ Above Average AverageOut of 103 Commodities Broad Basket funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks maximum real return, consistent with prudent investment management.

The fund seeks to achieve its investment objective by investing under normal circumstances in commodity-linked derivative instruments backed by a portfolio of inflation-indexed securities and other Fixed Income Instruments. "Fixed Income Instruments" include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. It will seek to gain exposure to the commodity markets primarily through investments in leveraged or unleveraged commodity index-linked notes.






Fund Inception Date 06-28-02Portfolio Manager(s) Mihir P. Worah

Nicholas J. JohnsonName of Issuer PIMCOTelephone 888-877-4626Web Site www.pimco.com

Benchmark Description: Morningstar Lng-Only Cmdty TR USD

The index measures the performance of future contracts oneligible long commodities. Eligibilty is defined as a commoditythat has future contracts traded on one of the US exchangesand rank in the top 95% by the 12-month average of totaldollar value of open interest. The index is reconstitutedannually, on the third Friday of December each year. It is afully collateralized commodity futures index.

Category Description: Commodities Broad Basket

Broad-basket portfolios can invest in a diversified basket ofcommodity goods including but not limited to grains,minerals, metals, livestock, cotton, oils, sugar, coffee, andcocoa. Investment can be made directly in physical assets orcommodity-linked derivative instruments, such as commodityswap agreements.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception8.76 -6.47 -1.53 -9.43 -1.67 2.37 Fund Return %8.76 -6.47 -1.53 -9.43 -1.67 2.37 Load-Adj. Return %

10.33 -5.90 -0.48 -10.00 -1.97 . Benchmark Return %5.30 -8.29 -1.19 -8.89 -4.32 . Category Average %........................................................................................................................................................................................................... . QQQ QQ QQQQ . Morningstar Rating™. . 103 84 26 . # of Funds in Category


Fund Return % 8.76 -6.47 -1.53 -9.43 -1.67 2.37Standardized Return % 8.76 -6.47 -1.53 -9.43 -1.67 2.37


Portfolio Analysis as of 03-31-19Composition as of 03-31-19 % Net

U.S. Stocks 0.0Non-U.S. Stocks 0.0Bonds 85.2Cash -14.3Other 29.2

..........................................................................................-100 -50 0 50 100 Total 100.0


Not

Available



Pimco Cayman Cmdty Fd Ltd Instl 07-01-21 24.09Euro Schatz June19 06-06-19 15.63United States Treasury Notes 0.12% 04-15-21 14.90Euro BUND Future June19 06-06-19 13.30United States Treasury Notes 0.12% 04-15-20 11.32.......................................................................................................Euro OAT June19 06-06-19 7.11Federal National Mortgage Associat 3.5% 05-13-49 6.48US 10 Year Note (CBT) June19 06-19-19 6.32United States Treasury Bonds 2.38% 01-15-25 6.01Irs Usd 2.25000 12/20/17-5y Cme 12-20-22 5.54




Credit Analysis % Bonds

Not Available

Principal Risks as of 03-31-19Short Sale, Credit and Counterparty, Prepayment (Call), Currency, Emerging Markets, Foreign Securities, Loss of Money, Not FDICInsured, Issuer, Interest Rate, Market/Market Volatility, Commodity, Equity Securities, High-Yield Securities, Mortgage-Backedand Asset-Backed Securities, Restricted/Illiquid Securities, Underlying Fund/Fund of Funds, U.S. Federal Tax Treatment,Derivatives, Leverage, Fixed-Income Securities, Sovereign Debt, Management


®


Principal MidCap R5 PMBPX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell Mid Cap Growth TR USD


QQQQQ High Below AverageOut of 539 Mid-Cap Growth funds. An investment's overall Morningstar Rating, based on its risk-adjusted return,is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks long-term growth of capital.Under normal circumstances, the fund invests at least

80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with medium market capitalizations at the time of purchase. For this fund, companies with medium market capitalizations are those with market capitalizations within the range of companies comprising the Russell Midcap® Index. The fund also invests in foreign securities.




. . . .


Fund Inception Date 12-06-00Portfolio Manager(s) K. William Nolin, CFA

Thomas Rozycki, CFAName of Issuer Principal FundsTelephone 800-222-5852Web Site www.principalfunds.com

Benchmark Description: Russell Mid Cap Growth TR USD

The index measures the performance of the mid-cap growthsegment of the US equity universe. It includes Russell midcapindex companies with higher price-to-book ratios and higherforecasted growth values. It is market-capitalizationweighted. Russell Investment Group is the source and ownerof the trademarks, service marks and copyrights related tothe Russell Indexes. Russell® is a trademark of RussellInvestment Group.

Category Description: Mid-Cap Growth

Some mid-cap growth portfolios invest in stocks of all sizes,thus leading to a mid-cap profile, but others focus on midsizecompanies. Mid-cap growth portfolios target U.S. firms thatare projected to grow faster than other mid-cap stocks,therefore commanding relatively higher prices. The U.S. mid-cap range for market capitalization typically falls between $1billion and $8 billion and represents 20% of the totalcapitalization of the U.S. equity market. Growth is definedbased on fast growth (high growth rates for earnings, sales,book value, and cash flow) and high valuations (high priceratios and low dividend yields).

Performance

15

30

45

60

0

-15

-30

-45



InvestmentBenchmark



. . QQQQ QQQQ QQQQQ . Morningstar Rating™








LargeM

idSm

all

Value Blend Growth



TransDigm Group Inc 4.15Brookfield Asset Management Inc Class A 4.05SBA Communications Corp 3.53Markel Corp 3.09Restaurant Brands International Inc 2.90.......................................................................................................CarMax Inc 2.89O'Reilly Automotive Inc 2.76Gartner Inc A 2.64Hilton Worldwide Holdings Inc 2.46Copart Inc 2.39






Principal Risks as of 05-31-19Currency, Foreign Securities, Loss of Money, Not FDIC Insured, Equity Securities, Shareholder Activity


®


T. Rowe Price Health Sciences PRHSX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkS&P 1500 Health Care TR


QQQQQ High Above AverageOut of 135 Health funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is aweighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks long-term capital appreciation.The fund will normally invest at least 80% of its net

assets (including any borrowings for investment purposes) in the common stocks of companies engaged in the research, development, production, or distribution of products or services related to health care, medicine, or the life sciences (collectively termed "health sciences"). While the fund can invest in companies of any size, the majority of fund assets are expected to be invested in large- and mid-capitalization companies. It is non-diversified.




. . . .


Fund Inception Date 12-29-95Portfolio Manager(s) Ziad Bakri, CFAName of Issuer T. Rowe PriceTelephone 800-638-5660Web Site www.troweprice.com

Benchmark Description: S&P 1500 Health Care TR

The index measures the performance of health care(sector)segment of US equity securities. It comprises thosecompanies included in the S&P Composite 1500 that areclassified as members of the Global Industry ClassificationStandard(GICS) Health Care (sector).

Category Description: Health

Health portfolios focus on the medical and health-careindustries. Most invest in a range of companies, buyingeverything from pharmaceutical and medical-device makersto HMOs, hospitals, and nursing homes. A few portfoliosconcentrate on just one industry segment, such as serviceproviders or biotechnology firms.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception17.50 10.39 14.22 12.95 20.23 14.49 Fund Return %17.50 10.39 14.22 12.95 20.23 14.49 Load-Adj. Return %8.40 12.00 11.32 11.03 15.99 . Benchmark Return %

13.66 5.12 11.82 9.15 15.80 11.22 Category Average %........................................................................................................................................................................................................... . QQQQ QQQQQ QQQQQ . Morningstar Rating™. . 135 122 98 . # of Funds in Category







LargeM

idSm

all

Value Blend Growth



UnitedHealth Group Inc 6.95Intuitive Surgical Inc 5.51Becton, Dickinson and Co 4.74Vertex Pharmaceuticals Inc 3.98Thermo Fisher Scientific Inc 3.49.......................................................................................................Anthem Inc 3.12Pfizer Inc 3.05Stryker Corp 2.95Sage Therapeutics Inc 2.43Eli Lilly and Co 2.34






Principal Risks as of 03-31-19Foreign Securities, Loss of Money, Not FDIC Insured, Capitalization, Nondiversification, Active Management, Equity Securities,Industry and Sector Investing, Options


®


T. Rowe Price High Yield PRHYX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkICE BofAML US High Yield TR USD


QQQQ Above Average AverageOut of 610 High Yield Bond funds. An investment's overall Morningstar Rating, based on its risk-adjusted return,is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks high current income and, secondarily, capital appreciation.

The fund will normally invest at least 80% of its net assets in a widely diversified portfolio of high yield corporate bonds, often called "junk" bonds, as well as income-producing convertible securities and preferred stocks that are rated below investment grade or not rated by any major credit rating agency but deemed to be below investment grade by T. Rowe Price. High yield bonds are rated below investment grade (BB and lower, or an equivalent rating), and tend to provide high income in an effort to compensate investors for their higher risk of default.




. . . .


Fund Inception Date 12-31-84Portfolio Manager(s) Mark J. VaselkivName of Issuer T. Rowe PriceTelephone 800-638-5660Web Site www.troweprice.com

Benchmark Description: ICE BofAML US High Yield TR USD

The index measures the performance of short-term US dollardenominated below investment grade corporate debt publiclyissued in the US domestic market. Qualifying securities musthave at least 18 months to final maturity at the time ofissuance, at least one year remaining term to final maturity asof the rebalancing date, a fixed coupon schedule and aminimum amount outstanding of $100 million. It iscapitalization-weighted.

Category Description: High Yield Bond

High-yield bond portfolios concentrate on lower-qualitybonds, which are riskier than those of higher-qualitycompanies. These portfolios generally offer higher yields thanother types of portfolios, but they are also more vulnerable toeconomic and credit risk. These portfolios primarily invest inU.S. high-income debt securities where at least 65% or moreof bond assets are not rated or are rated by a major agencysuch as Standard & Poor's or Moody's at the level of BB(considered speculative for taxable bonds) and below.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception10.09 7.60 6.97 4.10 8.59 8.11 Fund Return %10.09 7.60 6.97 4.10 8.59 8.11 Load-Adj. Return %10.16 7.58 7.54 4.70 9.22 . Benchmark Return %8.79 6.19 6.31 3.47 7.95 7.41 Category Average %........................................................................................................................................................................................................... . QQQQ QQQQ QQQQ . Morningstar Rating™. . 610 524 337 . # of Funds in Category







HighM

edLow

Ltd Mod Ext



T. Rowe Price Gov. Reserve 6.66Asurion 08-04-25 1.73AVANTOR INC 9% 10-01-25 1.19NRG Energy, Inc. 7.25% 05-15-26 0.92CCO Holdings, LLC/ CCO Holdings Capi 5% 02-01-28 0.89.......................................................................................................Targa Resources Co 9.5% 0.88Clear Channel Worldwide Holdings 9.25% 02-15-24 0.83Intelsat Jackson Holdings, Ltd. 9.5% 09-30-22 0.82Netflix, Inc. 6.38% 05-15-29 0.78Sprint Corporation 7.25% 09-15-21 0.78





-100 -50 0 50 100


Principal Risks as of 03-31-19Credit and Counterparty, Foreign Securities, Loss of Money, Not FDIC Insured, Active Management, Interest Rate, Market/MarketVolatility, Bank Loans, Convertible Securities, High-Yield Securities, Preferred Stocks, Restricted/Illiquid Securities, Derivatives,Fixed-Income Securities


®


Vanguard Target Retirement 2015 Inv VTXVX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2015 TR USD


QQQQ Above Average Below AverageOut of 109 Target-Date 2015 funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide capital appreciation and current income consistent with its current asset allocation.

The fund invests in other Vanguard mutual funds according to an asset allocation strategy designed for investors planning to retire and leave the workforce in or within a few years of 2015 (the target year). The fund's asset allocation will become more conservative over time, meaning that the percentage of assets allocated to stocks will decrease while the percentage of assets allocated to bonds and other fixed income investments will increase.




. . . .


Fund Inception Date 10-27-03Portfolio Manager(s) William A. Coleman, CFA

Walter NejmanName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: Morningstar Lifetime Mod 2015 TR USD

The index measures the performance of a portfolio of globalequities, bonds and traditional inflation hedges such ascommodities and TIPS. This portfolio is held in proportionsappropriate for a US investor who has a target maturity dateof 2015. The Moderate risk profile is for investors who arecomfortable with average exposure to equity market volatility.

Category Description: Target-Date 2015

Target-date portfolios provide diversified exposure to stocks,bonds, and cash for those investors who have a specific datein mind (in this case, the years 2011-2015) for retirement.These portfolios aim to provide investors with an optimal levelof return and risk, based solely on the target date.Management adjusts the allocation among asset classes tomore-conservative mixes as the target date approaches,following a preset glide path. A target-date portfolio is part ofa series of funds offering multiple retirement dates toinvestors.

Allocation of Assets

050 40 30 20 10 -10 -20 -30

10080

60

40

200

Years Until Retirement

% AllocationBondsStocksCashOther

PerformanceTrailing Returns YTD 1 Year 3 Year 5 Year 10 Year Since Inception

Investment Return % 9.74 6.48 6.66 4.89 8.33 6.15Benchmark Return % 10.81 6.92 6.53 4.52 8.10 .Category Average % 10.03 5.99 6.45 4.32 7.72 5.13........................................................................................................................................................................................................................Morningstar Rating™ . . QQQ QQQQ QQQQ .# of Funds in Category . . 109 79 54 .






Morningstar Style Box™ as of 05-31-19(EQ) ; 04-30-19(F-I)

LargeM

idSm

all

Value Blend Growth

HighM

edLow

Ltd Mod Ext


Vanguard Total Bond Market II Idx Inv 34.07Vanguard Total Stock Mkt Idx Inv 22.76Vanguard Total Intl Stock Index Inv 15.10Vanguard Total Intl Bd Idx Investor 14.81Vanguard Shrt-Term Infl-Prot Sec Idx Inv 13.22.......................................................................................................Cmt Market Liquidity Rate 0.04

.......................................................................................................Total Number of Holdings 6Annual Turnover Ratio % 7.00Total Fund Assets ($mil) 15,774.55





Principal Risks as of 05-31-19Hedging Strategies, Credit and Counterparty, Prepayment (Call), Currency, Loss of Money, Not FDIC Insured, Country or Region,Income, Interest Rate, Market/Market Volatility, Equity Securities, Fixed-Income Securities, Management, Target Date


®


Vanguard Target Retirement 2020 Inv VTWNX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2020 TR USD


QQQQQ Above Average AverageOut of 204 Target-Date 2020 funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.







. . . .









050 40 30 20 10 -10 -20 -30

10080

60

40

200




Investment Return % 11.32 6.53 7.82 5.55 9.15 6.28Benchmark Return % 11.71 7.13 7.21 4.89 8.85 .Category Average % 10.67 5.96 6.89 4.52 8.08 4.99........................................................................................................................................................................................................................Morningstar Rating™ . . QQQQ QQQQQ QQQQQ .# of Funds in Category . . 204 163 101 .







LargeM

idSm

all

Value Blend Growth

HighM

edLow

Ltd Mod Ext


Vanguard Total Stock Mkt Idx Inv 30.60Vanguard Total Bond Market II Idx Inv 29.72Vanguard Total Intl Stock Index Inv 20.48Vanguard Total Intl Bd Idx Investor 12.69Vanguard Shrt-Term Infl-Prot Sec Idx Inv 6.50.......................................................................................................Cmt Market Liquidity Rate 0.02








®


Vanguard Target Retirement 2025 Inv VTTVX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2025 TR USD


QQQQ Above Average AverageOut of 186 Target-Date 2025 funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.







. . . .









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Investment Return % 12.46 6.61 8.69 5.94 9.79 6.79Benchmark Return % 12.68 7.16 8.11 5.32 9.67 .Category Average % 11.87 5.99 7.93 5.00 8.96 6.01........................................................................................................................................................................................................................Morningstar Rating™ . . QQQQ QQQQQ QQQQ .# of Funds in Category . . 186 149 80 .







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Vanguard Total Stock Mkt Idx Inv 36.28Vanguard Total Bond Market II Idx Inv 27.67Vanguard Total Intl Stock Index Inv 24.29Vanguard Total Intl Bd Idx Investor 11.71Cmt Market Liquidity Rate 0.05








®


Vanguard Target Retirement 2030 Inv VTHRX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2030 TR USD









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Vanguard Total Stock Mkt Idx Inv 40.77Vanguard Total Intl Stock Index Inv 27.30Vanguard Total Bond Market II Idx Inv 22.46Vanguard Total Intl Bd Idx Investor 9.42Cmt Market Liquidity Rate 0.05








®


Vanguard Target Retirement 2035 Inv VTTHX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2035 TR USD









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Vanguard Target Retirement 2040 Inv VFORX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2040 TR USD









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Investment Return % 14.79 6.00 10.79 6.72 11.17 7.03Benchmark Return % 15.35 6.07 10.69 6.26 11.08 .Category Average % 14.69 5.48 10.04 6.01 10.21 5.85........................................................................................................................................................................................................................Morningstar Rating™ . . QQQQ QQQQ QQQQ .# of Funds in Category . . 193 152 91 .







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Vanguard Target Retirement 2045 Inv VTIVX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2045 TR USD









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Vanguard Target Retirement 2050 Inv VFIFX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2050 TR USD









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Vanguard Target Retirement 2055 Inv VFFVX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2055 TR USD


QQQQ Above Average Below AverageOut of 180 Target-Date 2055 funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.







. . . .







Target-date portfolios provide a diversified exposure tostocks, bonds, and cash for those investors who have aspecific date in mind (in this case, the years 2051-2055) forretirement. These portfolios aim to provide investors with anoptimal level of return and risk, based solely on the targetdate. Management adjusts the allocation among assetclasses to more-conservative mixes as the target dateapproaches, following a preset glide path. A target-dateportfolio is part of a series of funds offering multipleretirement dates to investors.


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Investment Return % 15.38 5.88 11.04 6.82 . 10.33Benchmark Return % 15.67 5.46 10.89 6.08 . 9.77Category Average % 15.60 5.30 10.71 6.29 . 9.59........................................................................................................................................................................................................................Morningstar Rating™ . . QQQ QQQQ . .# of Funds in Category . . 180 137 . .


Fund Return % 15.38 5.88 11.04 6.82 . 10.33Standardized Return % 15.38 5.88 11.04 6.82 . 10.33





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Vanguard Target Retirement 2060 Inv VTTSX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2060 TR USD


QQQ Average AverageOut of 119 Target-Date 2060+ funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.







. . . .






Category Description: Target-Date 2060+

Target-date portfolios provide a diversified exposure tostocks, bonds, and cash for those investors who have aspecific date in mind (in this case, the years 2056-2060 andbeyond) for retirement. These portfolios aim to provideinvestors with an optimal level of return and risk, based solelyon the target date. Management adjusts the allocationamong asset classes to more-conservative mixes as thetarget date approaches, following a preset glide path. Atarget-date portfolio is part of a series of funds offeringmultiple retirement dates to investors.


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Investment Return % 15.36 5.86 11.03 6.81 . 10.02Benchmark Return % 15.61 5.35 10.84 5.99 . .Category Average % 15.81 5.44 10.88 6.47 . 9.78........................................................................................................................................................................................................................Morningstar Rating™ . . QQQ QQQ . .# of Funds in Category . . 119 15 . .


Fund Return % 15.36 5.86 11.03 6.81 . 10.02Standardized Return % 15.36 5.86 11.03 6.81 . 10.02





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Vanguard Target Retirement 2065 Inv VLXVX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod 2060 TR USD


. . .







. . . .






Category Description: Target-Date 2060+

Target-date portfolios provide a diversified exposure tostocks, bonds, and cash for those investors who have aspecific date in mind (in this case, the years 2056-2060 andbeyond) for retirement. These portfolios aim to provideinvestors with an optimal level of return and risk, based solelyon the target date. Management adjusts the allocationamong asset classes to more-conservative mixes as thetarget date approaches, following a preset glide path. Atarget-date portfolio is part of a series of funds offeringmultiple retirement dates to investors.


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Investment Return % 15.40 5.84 . . . 7.92Benchmark Return % 15.61 5.35 . . . 7.83Category Average % 15.81 5.44 . . . 7.64........................................................................................................................................................................................................................Morningstar Rating™ . . . . . .# of Funds in Category . . . . . .


Fund Return % 15.40 5.84 . . . 7.92Standardized Return % 15.40 5.84 . . . 7.92





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.......................................................................................................Total Number of Holdings 5Annual Turnover Ratio % 1.00Total Fund Assets ($mil) 365.15







®


Vanguard Wellington™ Admiral™ VWENX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Mod Tgt Risk TR USD


QQQQQ Above Average AverageOut of 679 Allocation--50% to 70% Equity funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide long-term capital appreciation and moderate current income.

The fund invests 60% to 70% of its assets in dividend-paying and, to a lesser extent, non-dividend-paying common stocks of established large companies. The remaining 30% to 40% of the fund's assets are invested mainly in fixed income securities that the advisor believes will generate a moderate level of current income. These securities include investment-grade corporate bonds, with some exposure to U.S. Treasury and government agency bonds, and mortgage-backed securities.




. . . .


Fund Inception Date 05-14-01Portfolio Manager(s) Edward P. Bousa, CFA

Michael E. Stack, CFAName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: Morningstar Mod Tgt Risk TR USD

The Morningstar Target Risk Index family is designed to meetthe needs of investors who would like to maintain a targetlevel of equity exposure through a portfolio diversified acrossequities, bonds and inflation-hedged instruments. TheMorningstar Moderate Target Risk Index seeks approximately60% exposure to global equity markets.

Category Description: Allocation--50% to 70% Equity

Funds in allocation categories seek to provide both incomeand capital appreciation by investing in multiple assetclasses, including stocks, bonds, and cash. These portfoliosare dominated by domestic holdings and have equityexposures between 50% and 70%.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception12.92 10.39 9.84 7.55 10.75 7.69 Fund Return %12.92 10.39 9.84 7.55 10.75 7.69 Load-Adj. Return %12.08 7.08 8.30 5.29 8.61 . Benchmark Return %12.21 5.73 7.79 5.04 8.93 4.95 Category Average %..........................................................................................................................................................................................................

. . QQQQ QQQQQ QQQQQ . Morningstar Rating™








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Microsoft Corp 2.97Verizon Communications Inc 2.47JPMorgan Chase & Co 2.17Bank of America Corporation 2.09Alphabet Inc A 1.91.......................................................................................................Chevron Corp 1.85Comcast Corp Class A 1.62Chubb Ltd 1.45Intel Corp 1.25Prudential Financial Inc 1.22






Principal Risks as of 03-31-19Credit and Counterparty, Prepayment (Call), Loss of Money, Not FDIC Insured, Income, Interest Rate, Market/Market Volatility,Equity Securities, Restricted/Illiquid Securities, Fixed-Income Securities, Management


®


Vanguard Target Retirement Income Inv VTINX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkMorningstar Lifetime Mod Incm TR USD


QQQQ Average Below AverageOut of 159 Target-Date Retirement funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide current income and some capital appreciation.

The fund invests in other Vanguard mutual funds according to an asset allocation strategy designed for investors currently in retirement. Its indirect bond holdings are a diversified mix of short-, intermediate-, and long-term U.S. government, U.S. agency, and investment-grade U.S. corporate bonds; inflation-protected public obligations issued by the U.S. Treasury; mortgage-backed and asset-backed securities; and government, agency, corporate, and securitized investment-grade foreign bonds issued in currencies other than the U.S. dollar.




. . . .




Benchmark Description: Morningstar Lifetime Mod Incm TR USD

The index measures the performance of a portfolio of globalequities, bonds and traditional inflation hedges such ascommodities and TIPS. This portfolio is held in proportionsappropriate for a US investor who has a target of moderateincome. The Moderate risk profile is for investors who arecomfortable with average exposure to equity market volatility.

Category Description: Target-Date Retirement

Retirement income portfolios provide a mix of stocks, bonds,and cash for those investors already in or entering retirement.These portfolios tend to be managed to more of aconservative asset-allocation strategy. These portfolios aim toprovide investors with steady income throughout retirement.


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Vanguard Total Bond Market II Idx Inv 37.86Vanguard Total Stock Mkt Idx Inv 17.46Vanguard Shrt-Term Infl-Prot Sec Idx Inv 16.93Vanguard Total Intl Bd Idx Investor 16.03Vanguard Total Intl Stock Index Inv 11.69.......................................................................................................Cmt Market Liquidity Rate 0.03






Principal Risks as of 05-31-19Hedging Strategies, Credit and Counterparty, Prepayment (Call), Currency, Loss of Money, Not FDIC Insured, Country or Region,Income, Interest Rate, Market/Market Volatility, Equity Securities, Fixed-Income Securities, Management


®


Vanguard Total Bond Market Index Adm VBTLX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkBBgBarc US Agg Bond TR USD


QQQ Average Above AverageOut of 343 Intermediate Core Bond funds. An investment's overall Morningstar Rating, based on its risk-adjustedreturn, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks the performance of Bloomberg Barclays U.S. Aggregate Float Adjusted Index.

Bloomberg Barclays U.S. Aggregate Float Adjusted Index represents a wide spectrum of public, investment-grade, taxable, fixed income securities in the United States-including government, corporate, and international dollar-denominated bonds, as well as mortgage-backed and asset-backed securities-all with maturities of more than 1 year. All of its investments will be selected through the sampling process, and at least 80% of its assets will be invested in bonds held in the index.




. . . .


Fund Inception Date 11-12-01Portfolio Manager(s) Joshua C. Barrickman, CFAName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: BBgBarc US Agg Bond TR USD

The index measures the performance of investment grade,U.S. dollar-denominated, fixed-rate taxable bond market,including Treasuries, government-related and corporatesecurities, MBS (agency fixed-rate and hybrid ARMpassthroughs), ABS, and CMBS. It rolls up into other Barclaysflagship indices, such as the multi-currency Global AggregateIndex and the U.S. Universal Index, which includes high yieldand emerging markets debt.

Category Description: Intermediate Core Bond

Intermediate-term core bond portfolios invest primarily ininvestment-grade U.S. fixed-income issues includinggovernment, corporate, and securitized debt, and hold lessthan 5% in below-investment-grade exposures. Theirdurations (a measure of interest-rate sensitivity) typicallyrange between 75% and 125% of the three-year average ofthe effective duration of the Morningstar Core Bond Index.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception6.11 7.85 2.22 2.89 3.82 4.19 Fund Return %6.11 7.85 2.22 2.89 3.82 4.19 Load-Adj. Return %6.11 7.87 2.31 2.95 3.90 4.32 Benchmark Return %5.77 7.24 2.09 2.55 3.86 3.90 Category Average %........................................................................................................................................................................................................... . QQQ QQQQ QQQ . Morningstar Rating™. . 343 302 227 . # of Funds in Category







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Cmt Market Liquidity Rate 1.66United States Treasury Notes 2.88% 08-15-28 0.44United States Treasury Notes 2.12% 05-15-25 0.43United States Treasury Notes 2.12% 03-31-24 0.43United States Treasury Notes 1.75% 02-28-22 0.41.......................................................................................................United States Treasury Bonds 3% 02-15-49 0.40United States Treasury Notes 3.12% 11-15-28 0.40United States Treasury Notes 2.38% 03-15-22 0.39United States Treasury Notes 2.62% 11-15-20 0.38United States Treasury Notes 2.5% 01-31-24 0.37





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Principal Risks as of 05-31-19Credit and Counterparty, Extension, Prepayment (Call), Loss of Money, Not FDIC Insured, Income, Index Correlation/Tracking Error,Interest Rate, ETF, Restricted/Illiquid Securities, Early Close/Late Close/Trading Halt, Market Trading, Sampling


®


Vanguard Short-Term Federal Adm VSGDX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkBBgBarc US Govt 1-3 Yr TR USD


QQQQ High AverageOut of 98 Short Government funds. An investment's overall Morningstar Rating, based on its risk-adjusted return,is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks current income while maintaining limited price volatility.

The fund invests at least 80% of its assets in short-term bonds issued or guaranteed by the U.S. government and its agencies and instrumentalities, many of which are not backed by the full faith and credit of the U.S. government. It is expected to maintain a dollar-weighted average maturity of 1 to 4 years.




. . . .


Fund Inception Date 02-12-01Portfolio Manager(s) Brian W. QuigleyName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: BBgBarc US Govt 1-3 Yr TR USD

The index measures the performance of the U.S. Treasury andU.S. Agency Indices with maturities of 1-3 years, includingTreasuries and U.S. agency debentures. It is a component ofthe U.S. Government/Credit Index and the U.S. AggregateIndex.

Category Description: Short Government

Short-government portfolios have at least 90% of their bondholdings in bonds backed by the U.S. government or bygovernment-linked agencies. This backing minimizes thecredit risk of these portfolios, as the U.S. government isunlikely to default on its debt. These portfolios have durationstypically between 1.0 and 3.5 years, so they have relativelyless sensitivity to interest rates and, thus, low risk potential.Morningstar calculates monthly breakpoints using theeffective duration of the Morningstar Core Bond Index indetermining duration assignment. Short is defined as 25% to75% of the three-year average effective duration of the MCBI.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception2.88 4.42 1.43 1.50 1.74 3.11 Fund Return %2.88 4.42 1.43 1.50 1.74 3.11 Load-Adj. Return %2.47 4.02 1.31 1.23 1.23 2.62 Benchmark Return %2.35 3.54 1.02 1.03 1.35 2.44 Category Average %........................................................................................................................................................................................................... . QQQQ QQQQQ QQQQ . Morningstar Rating™. . 98 95 72 . # of Funds in Category







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United States Treasury Notes 0.12% 04-15-20 12.95United States Treasury Notes 1.5% 01-31-22 8.75Resolution Funding Corp 0% 10-15-20 5.33United States Treasury Notes 2% 02-28-21 4.79Federal Home Loan Mortgage Corpora 1.7% 09-29-20

3.33

.......................................................................................................Cmt Market Liquidity Rate 3.21Federal National Mortgage Associatio 0% 10-09-19 2.77Federal National Mortgage Associat 2.5% 02-05-24 2.77Federal Home Loan Banks 1.8% 08-28-20 2.50Federal Home Loan Mortgage Corpora 2.6% 04-01-21

2.05





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Principal Risks as of 03-31-19Loss of Money, Not FDIC Insured, Income, Interest Rate, Derivatives, Suitability, Management


®


Vanguard 500 Index Admiral VFIAX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkRussell 1000 TR USD


QQQQQ High AverageOut of 1205 Large Blend funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, isa weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to track the performance of a benchmark index that measures the investment return of large-capitalization stocks.

The fund employs an indexing investment approach designed to track the performance of the Standard & Poor's 500 Index, a widely recognized benchmark of U.S. stock market performance that is dominated by the stocks of large U.S. companies. The advisor attempts to replicate the target index by investing all, or substantially all, of its assets in the stocks that make up the index, holding each stock in approximately the same proportion as its weighting in the index.




. . . .


Fund Inception Date 11-13-00Portfolio Manager(s) Donald M. Butler, CFA

Michelle Louie, CFAName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: Russell 1000 TR USD

The index measures the performance of the large-capsegment of the US equity securities. It is a subset of theRussell 3000 index and includes approximately 1000 of thelargest securities based on a combination of their market capand current index membership.

Category Description: Large Blend

Large-blend portfolios are fairly representative of the overallUS stock market in size, growth rates and price. Stocks in thetop 70% of the capitalization of the US equity market aredefined as large cap. The blend style is assigned to portfolioswhere neither growth nor value characteristics predominate.These portfolios tend to invest across the spectrum of USindustries, and owing to their broad exposure, the portfolios'returns are often similar to those of the S&P 500 Index.

Performance

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InvestmentBenchmark



. . QQQQ QQQQ QQQQQ . Morningstar Rating™








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Microsoft Corp 4.12Apple Inc 3.40Amazon.com Inc 3.18Facebook Inc A 1.84Berkshire Hathaway Inc B 1.61.......................................................................................................Johnson & Johnson 1.51JPMorgan Chase & Co 1.48Alphabet Inc Class C 1.47Alphabet Inc A 1.44Exxon Mobil Corp 1.30






Principal Risks as of 05-31-19Loss of Money, Not FDIC Insured, Market/Market Volatility, Equity Securities, Management


®


Vanguard Interm-Term Treasury Adm VFIUX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkBBgBarc US Government TR USD


QQQQ Above Average HighOut of 205 Intermediate Government funds. An investment's overall Morningstar Rating, based on its risk-adjusted return, is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide a moderate and sustainable level of current income.

The fund invests at least 80% of its assets in U.S. Treasury securities, which include bills, bonds, and notes issued by the U.S. Treasury. It is expected to maintain a dollar-weighted average maturity of 5 to 10 years.




. . . .


Fund Inception Date 02-12-01Portfolio Manager(s) Gemma Wright-CaspariusName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: BBgBarc US Government TR USD

The index measures the performance of the U.S. Treasury andU.S. Agency Indices, including Treasuries and U.S. agencydebentures. It is a component of the U.S. Government/CreditIndex and the U.S. Aggregate Index.

Category Description: Intermediate Government

Intermediate-government portfolios have at least 90% of theirbond holdings in bonds backed by the U.S. government or bygovernment-linked agencies. This backing minimizes thecredit risk of these portfolios, as the U.S. government isunlikely to default on its debt. These portfolios have durationstypically between 3.5 and 6.0 years. Consequently, thegroup's performance--and its level of volatility--tends to fallbetween that of the short government and long governmentbond categories. Morningstar calculates monthly breakpointsusing the effective duration of the Morningstar Core BondIndex in determining duration assignment. Intermediate isdefined as 75% to 125% of the three-year average effectiveduration of the MCBI.

Performance

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InvestmentBenchmark


YTD 1 Year 3 Year 5 Year 10 Year Since Inception5.26 7.84 1.36 2.51 3.34 4.62 Fund Return %5.26 7.84 1.36 2.51 3.34 4.62 Load-Adj. Return %5.15 7.21 1.39 2.48 2.97 4.14 Benchmark Return %4.35 6.08 1.29 1.96 2.79 3.54 Category Average %........................................................................................................................................................................................................... . QQQ QQQQQ QQQQ . Morningstar Rating™. . 205 190 149 . # of Funds in Category







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United States Treasury Notes 0.12% 04-15-20 3.93United States Treasury Notes 2% 02-15-25 2.65United States Treasury Notes 3.12% 11-15-28 2.27United States Treasury Notes 2.12% 05-15-25 2.17United States Treasury Notes 2.38% 08-15-24 2.14.......................................................................................................United States Treasury Notes 2.88% 08-15-28 2.08United States Treasury Notes 1.62% 02-15-26 1.99United States Treasury Notes 2% 08-15-25 1.85United States Treasury Notes 2.75% 11-15-23 1.83United States Treasury Notes 1.75% 05-15-23 1.81





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Principal Risks as of 03-31-19Loss of Money, Not FDIC Insured, Income, Interest Rate, Management


®


Vanguard Long-Term Treasury Admiral VUSUX ..........................................................................................................................................................................................................................................................................................................................................BenchmarkBBgBarc US Government Long TR USD


QQQQ Average AverageOut of 28 Long Government funds. An investment's overall Morningstar Rating, based on its risk-adjusted return,is a weighted average of its applicable 3-, 5-, and 10-year Ratings. See disclosure for details.


The investment seeks to provide a high and sustainable level of current income.

The fund invests at least 80% of its assets in U.S. Treasury securities, which include bills, bonds, and notes issued by the U.S. Treasury. It is expected to maintain a dollar-weighted average maturity of 15 to 30 years.




. . . .


Fund Inception Date 02-12-01Portfolio Manager(s) Gemma Wright-CaspariusName of Issuer VanguardTelephone 800-662-7447Web Site www.vanguard.com

Benchmark Description: BBgBarc US Government Long TR USD

The index measures the performance of the U.S. Treasury andU.S. Agency Indices with maturities of 10 years and greater,including Treasuries and U.S. agency debentures. It is acomponent of the U.S. Government/Credit Index and the U.S.Aggregate Index.

Category Description: Long Government

Long-government portfolios have at least 90% of their bondholdings invested in bonds backed by the U.S. government orby government-linked agencies. This backing minimizes thecredit risk of these portfolios, as the U.S. government isunlikely to default on its debt. They are not risk-free, though.Because these portfolios have durations of typically morethan 6.0 years, they are more sensitive to interest rates, andthus riskier, than portfolios that have shorter durations.Morningstar calculates monthly breakpoints using theeffective duration of the Morningstar Core Bond Index indetermining duration assignment. Long term is defined as125% of the three-year average effective duration of theMCBI.

Performance

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United States Treasury Bonds 3.38% 11-15-48 4.48United States Treasury Bonds 3.75% 11-15-43 3.96United States Treasury Bonds 3.62% 02-15-44 3.88United States Treasury Bonds 3% 08-15-48 3.48United States Treasury Bonds 3.12% 05-15-48 3.32.......................................................................................................United States Treasury Bonds 2.88% 05-15-43 3.13United States Treasury Bonds 3.62% 08-15-43 3.13United States Treasury Bonds 3% 02-15-48 3.02United States Treasury Bonds 3.12% 08-15-44 2.94United States Treasury Bonds 2.75% 11-15-47 2.92





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Principal Risks as of 03-31-19Loss of Money, Not FDIC Insured, Income, Interest Rate, Restricted/Illiquid Securities, Management


®

The Investment Profile is supplemental sales literature andmust be preceded or accompanied by the fund's currentprospectus as well as this disclosure statement. Theperformance data given represents past performance andshould not be considered indicative of future results. Principalvalue and investment return will fluctuate, so that aninvestor's shares when redeemed may be worth more or lessthan the original investment. Fund portfolio statistics changeover time. The fund is not FDIC-insured, may lose value and isnot guaranteed by a bank or other financial institution.

Performance Total return reflects performance without adjusting for salescharges or the effects of taxation, but is adjusted to reflect allactual ongoing fund expenses and assumes reinvestment ofdividends and capital gains. If adjusted, sales charges wouldreduce the performance quoted. Standardized Total Return is total return adjusted for salescharges. NAV Return is based on net asset value for a fund. Netasset value is calculated by dividing the total net assets ofthe fund by the total number of shares. NAVs come directlyfrom the fund company. ETF investors purchase shares on anexchange at the market price, which may be different thanthe NAV. Market Return is the price at which an exchange-tradedfund (ETF) may be bought or sold. The price listed may or maynot be the same as the fund's NAV. The fund's performance is compared with that of an index.The index is an unmanaged portfolio of specified securitiesand the index does not reflect any initial or ongoing expenses.The index cannot be invested in directly. A fund's portfoliomay differ significantly from the securities in the index. Theindex is chosen by Morningstar.

Morningstar CategoryMorningstar Category is assigned by placing funds into peergroups based on their underlying holdings. The underlyingsecurities in each portfolio are the primary factor in ouranalysis as the investment objective and investment strategystated in a fund’s prospectus may not be sufficiently detailedfor our proprietary classification methodology. Funds areplaced in a category based on their portfolio statistics andcompositions over the past three years. Analysis ofperformance and other indicative facts are also considered. Ifthe fund is new and has no portfolio history, Morningstarestimates where it will fall before giving it a permanentcategory assignment. Categories may be changed based onrecent changes to the portfolio. Total Annual Operating Expense This is the percentage of fund assets paid for operatingexpenses and management fees. The expense ratio typicallyincludes the following types of fees: accounting,administrator, advisor, auditor, board of directors, custodial,distribution (12b-1), legal, organizational, professional,registration, shareholder reporting, sub-advisor, and transferagency. The expense ratio does not reflect the fund'sbrokerage costs or any investor sales charges. In contrast tothe net expense ratio, the gross expense ratio does notreflect any fee waivers in effect during the time period. Also known as the Prospectus Gross Expense Ratio,Morningstar pulls the prospectus gross expense ratio fromthe fund's most recent prospectus.

Expense Ratio %The expense ratio is the annual fee that all funds charge their

shareholders. It expresses the percentage of assets deductedeach fiscal year for fund expenses, including 12b-1 fees,management fees, administrative fees, operating costs, andall other asset-based costs incurred by the fund. Portfoliotransaction fees, or brokerage costs, as well as front-end ordeferred sales charges are not included in the expense ratio.The expense ratio, which is deducted from the fund’s averagenet assets, is accrued on a daily basis. The gross expenseratio, in contrast to the net expense ratio, does not reflectany fee waivers in effect during the time period.

Sales Fees Also known as loads, sales fees list the maximum level ofinitial (front-end) and deferred (back-end) sales chargesimposed by a fund. The scales of minimum and maximumcharges are taken from a fund's prospectus. Because feeschange frequently and are sometimes waived, it is wise toexamine the fund's prospectus carefully for specificinformation before investing.

12b1 Expense %A 12b-1 fee is a fee used to pay for a mutual fund’sdistribution costs. It is often used as a commission to brokersfor selling the fund. The amount of the fee is taken from afund’s returns. Maximum Redemption Fee %The Maximum Redemption Fee is the maximum amount afund may charge if redeemed in a specific time period afterthe fund’s purchase (for example, 30, 180, or 365 days). Asset AllocationAsset Allocation reflects asset class weightings of theportfolio. The “Other” category includes security types thatare not neatly classified in the other asset classes, such asconvertible bonds and preferred stocks, or cannot beclassified by Morningstar as a result of missing data.Morningstar may display asset allocation data in severalways, including tables or pie charts. In addition, Morningstarmay compare the asset class breakdown of the fund againstits three-year average, category average, and/or index proxy. Asset allocations shown in tables may include abreakdown among the long, short, and net (long positions netof short) positions. These statistics summarize what thefund’s managers are buying and how they are positioning thefund’s portfolio. When short positions are captured in theseportfolio statistics, investors get a more robust description ofthe fund’s exposure and risk. Long positions involve buyingthe security outright and selling it later, with the hope thesecurity’s price rises over time. Short positions are taken withthe hope of benefitting from anticipated price declines. Theinvestor borrows the security from another investor, sells itand receives cash, and then is obligated to buy it back atsome point in the future. If the price falls after the short sale,the investor will have sold high and can buy low to close theshort position and lock in a profit. However, if the price of thesecurity increases after the short sale, the investor willexperience a loss buying it at a higher price than the saleprice. Most fund portfolios hold fairly conventional securities,such as long positions in equities and bonds. Morningstarmay generate a colored pie chart for these portfolios. Otherportfolios use other investment strategies or securities, suchas short positions or derivatives, in an attempt to reducetransaction costs, enhance returns, or reduce risk. Some ofthese securities and strategies behave like conventionalsecurities, while other have unique return and

risk characteristics. Portfolios that incorporate investmentstrategies resulting in short positions or portfolio withrelatively exotic derivative positions often report data toMorningstar that does not meet the parameters of thecalculation underlying a pie chart’s generation. Because ofthe nature of how these securities are reported toMorningstar, we may not always get complete portfolioinformation to report asset allocation. Morningstar, at itsdiscretion, may determine if unidentified characteristics offund holdings are material. Asset allocation and otherbreakdowns may be rescaled accordingly so that percentagestotal to 100 percent. (Morningstar used discretion todetermine if unidentified characteristics of fund holdings arematerial, pie charts and other breakdowns may rescaleidentified characteristics to 100% for more intuitivepresentation.) Note that all other portfolio statistics presented in thisreport are based on the long (or long rescaled) holdings of thefund only. Sector WeightingsSuper Sectors represent Morningstar's broadest classificationof equity sectors by assigning the 11 equity sectors into threeclassifications. The Cyclical Super Sector includes industriessignificantly impacted by economic shifts, and the stocksincluded in these sectors generally have betas greater than 1.The Defensive Super Sector generally includes industries thatare relatively immune to economic cycles, and the stocks inthese industries generally have betas less than 1. TheSensitive Super Sector includes industries that ebb and flowwith the overall economy, but not severely so. Stocks in theSensitive Super Sector generally have betas that are close to1. Morningstar Rating™ The Morningstar Rating™ for funds, or "star rating", iscalculated for managed products (including mutual funds,variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) withat least a three-year history. Exchange-traded funds andopen-ended mutual funds are considered a single populationfor comparative purposes. It is calculated based on aMorningstar Risk-Adjusted Return measure that accounts forvariation in a managed product's monthly excessperformance, placing more emphasis on downward variationsand rewarding consistent performance. The MorningstarRating does not include any adjustment for sales loads. Thetop 10% of products in each product category receive 5 stars,the next 22.5% receive 4 stars, the next 35% receive 3 stars,the next 22.5% receive 2 stars, and the bottom 10% receive1 star. The Overall Morningstar Rating for a managed productis derived from a weighted average of the performancefigures associated with its three-, five-, and 10-year (ifapplicable) Morningstar Rating metrics. The weights are:100% three-year rating for 36-59 months of total returns,60% five-year rating/40% three-year rating for 60-119 monthsof total returns, and 50% 10-year rating/30% five-yearrating/20% three-year rating for 120 or more months of totalreturns. While the 10-year overall star rating formula seemsto give the most weight to the 10-year period, the mostrecent three-year period actually has the greatest impactbecause it is included in all three rating periods. For private funds, the Morningstar Rating presented ishypothetical, because Morningstar does not independentlyanalyze private funds. Rather, the rating is assigned as ameans to compare these funds with the universe of mutualfunds that Morningstar rates. The evaluation of this

Important Disclosures

©2019 Morningstar, Inc., Morningstar® Investment Profiles™ 312-696-6000. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or itscontent providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers areresponsible for any damages or losses arising from any use of information. Past performance is no guarantee of future performance. Visit our investment website atwww.morningstar.com.

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investment does not affect the retail mutual fund datapublished by Morningstar.

Morningstar Return The Morningstar Return rates a fund’s performance relative toother managed products in its Morningstar Category. It is anassessment of a product's excess return over a risk-free rate(the return of the 90-day Treasury Bill) in comparison with theproducts in its Morningstar category. In each Morningstarcategory, the top 10% of products earn a High MorningstarReturn (High), the next 22.5% Above Average (+Avg), themiddle 35% Average (Avg), the next 22.5% Below Average (-Ave), and the bottom 10% Low (Low). Morningstar Return ismeasured for up to three time periods (three, five, and 10years). These separate measures are then weighted andaveraged to produce an overall measure for the product. Products with less than three years of performance historyare not rated.

Morningstar Risk Morningstar Risk evaluates a fund’s downside volatilityrelative to that of other products in its Morningstar Category.It is an assessment of the variations in monthly returns, withan emphasis on downside variations, in comparison with theproducts in its Morningstar category. In each Morningstarcategory, the 10% of products with the lowest measured riskare described as Low Risk (Low), the next 22.5% BelowAverage (-Avg), the middle 35% Average (Avg), the next22.5% Above Average (+Avg), and the top 10% High (High). Morningstar Risk is measured for up to three time periods(three, five, and 10 years). These separate measures arethen weighted and averaged to produce an overall measurefor the product. Products with less than three years ofperformance history are not rated.

Morningstar Style Box™ The Morningstar Style Box reveals a fund's investmentstrategy as of the date noted on this report. For equity funds the vertical axis shows the marketcapitalization of the long stocks owned and the horizontal axisshows investment style (value, blend, or growth). For fixed-income funds, the vertical axis shows the creditquality of the long bonds owned and the horizontal axisshows interest rate sensitivity as measured by a bond'seffective duration. Morningstar seeks credit rating information from fundcompanies on a periodic basis (e.g., quarterly). In compilingcredit rating information, Morningstar instructs fundcompanies to only use ratings that have been assigned by aNationally Recognized Statistical Rating Organization(NRSRO). If two NRSROs have rated a security, fundcompanies are to report the lowest rating; if three or moreNRSROs have rated the same security differently, fundcompanies are to report the rating that is in the middle. Forexample, if NRSRO X rates a security AA-, NRSRO Y rates thesame security an A and NRSRO Z rates it a BBB+, the fundcompany should use the credit rating of 'A' in its reporting toMorningstar. PLEASE NOTE: Morningstar, Inc. is not itself anNRSRO nor does it issue a credit rating on the fund. AnNRSRO rating on a fixed-income security can change fromtime-to-time. For credit quality, Morningstar combines the credit ratinginformation provided by the fund companies with an averagedefault rate calculation to come up with a weighted-averagecredit quality. The weighted-average credit quality is currentlya letter that roughly corresponds to the scale used by aleading NRSRO. Bond funds are assigned a style box

placement of "low", "medium", or "high" based on theiraverage credit quality. Funds with a low credit quality arethose whose weighted-average credit quality is determinedto be less than "BBB-"; medium are those less than "AA-", butgreater or equal to "BBB-"; and high are those with aweighted-average credit quality of "AA-" or higher. Whenclassifying a bond portfolio, Morningstar first maps theNRSRO credit ratings of the underlying holdings to theirrespective default rates (as determined by Morningstar'sanalysis of actual historical default rates). Morningstar thenaverages these default rates to determine the averagedefault rate for the entire bond fund. Finally, Morningstarmaps this average default rate to its corresponding creditrating along a convex curve. For interest-rate sensitivity, Morningstar obtains from fundcompanies the average effective duration. Generally,Morningstar classifies a fixed-income fund's interest-ratesensitivity based on the effective duration of the MorningstarCore Bond Index (MCBI), which is currently three years. Theclassification of Limited will be assigned to those fundswhose average effective duration is between 25% to 75% ofMCBI's average effective duration; funds whose averageeffective duration is between 75% to 125% of the MCBI willbe classified as Moderate; and those that are at 125% orgreater of the average effective duration of the MCBI will beclassified as Extensive. For municipal bond funds, Morningstar also obtains fromfund companies the average effective duration. In thesecases static breakpoints are utilized. These breakpoints are asfollows: (i) Limited: 4.5 years or less; (ii) Moderate: morethan 4.5 years but less than 7 years; and (iii) Extensive: morethan 7 years. In addition, for non-US taxable and non-USdomiciled fixed income funds static duration breakpoints areused: (i) Limited: less than or equal to 3.5 years; (ii)Moderate: greater than 3.5 and less than equal to 6 years;(iii) Extensive: greater than 6 years.

Principal Risks The specific risks associated with investing in this fund.Please see the Risk Definitions document for moreinformation on each type of risk.

Investment Risk Foreign Securities Funds/Emerging Markets Funds: Theinvestor should note that funds that invest in foreignsecurities involve special additional risks. These risks include,but are not limited to, currency risk, political risk, and riskassociated with varying accounting standards. Investing inemerging markets may accentuate these risks. Specialty/Sector Funds: The investor should note thatfunds that invest exclusively in one sector or industry involveadditional risks. The lack of industry diversification subjectsthe investor to increased industry-specific risks. Non-Diversified Funds: The investor should note that fundsthat invest more of their assets in a single issuer involveadditional risks, including share price fluctuations, because ofthe increased concentration of investments. Small Cap Funds: The investor should note that funds thatinvest in stocks of small companies involve additional risks.Smaller companies typically have a higher risk of failure, andare not as well established as larger blue-chip companies.Historically, smaller-company stocks have experienced agreater degree of market volatility than the overall marketaverage. Mid Cap Funds: The investor should note that funds thatinvest in companies with market capitalizations below $10billion involve additional risks. The securities of these

companies may be more volatile and less liquid than thesecurities of larger companies. High-Yield Bond Funds: The investor should note that fundsthat invest in lower-rated debt securities (commonly referredto as junk bonds) involve additional risks because of the lowercredit quality of the securities in the portfolio. The investorshould be aware of the possible higher level of volatility, andincreased risk of default. Tax-Free Municipal Bond Funds: The investor should notethat the income from tax-free municipal bond funds may besubject to state and local taxation and the AlternativeMinimum Tax.

Important Disclosures

©2019 Morningstar, Inc., Morningstar® Investment Profiles™ 312-696-6000. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or itscontent providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers areresponsible for any damages or losses arising from any use of information. Past performance is no guarantee of future performance. Visit our investment website atwww.morningstar.com.

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Investment Performance Summary

Investment Name Performance As of Date

Year to Date 3 Month 1 Year 3 Year 5 Year 10 Year

Since Inception

Fund Return

Gross Expense

Ratio

Net Expense

Ratio

American Funds Europacific Growth R6 06/30/2019 17.59% 3.87% 1.91% 10.84% 4.45% 8.15% 9.05% 0.490% 0.490%

Artisan Mid Cap Institutional 06/30/2019 34.12% 10.19% 19.76% 16.55% 10.40% 15.99% 8.78% 0.960% 0.960%

Columbia Mid Cap Index R5 06/30/2019 17.91% 2.98% 1.17% 10.65% 7.78% 14.41% 12.61% 0.270% 0.200%

Columbia Small Cap Index R5 06/30/2019 13.67% 1.84% -5.03% 11.78% 8.18% 14.76% 13.36% 0.200% 0.200%

DFA Inflation-Protected Securities I 06/30/2019 6.82% 3.09% 5.81% 2.18% 1.89% 3.90% 4.19% 0.120% 0.120%

Fidelity Advisor® Small Cap Value I 06/30/2019 12.78% 1.85% -4.39% 7.52% 5.70% 12.94% 9.89% 0.910% 0.910%

Franklin Small Cap Growth R6 06/30/2019 25.32% 5.26% 8.60% 18.40% 8.68% 16.51% 13.89% 0.660% 0.650%

Templeton Global Bond R6 06/30/2019 2.82% 0.80% 5.69% 4.73% 1.64% 4.88% 1.78% 0.670% 0.570%

Harbor Capital Appreciation Instl 06/30/2019 21.11% 3.03% 8.04% 20.20% 13.60% 15.91% 11.82% 0.710% 0.660%

Invesco Comstock R6 06/30/2019 15.29% 2.93% 1.39% 12.39% 6.65% 12.94% 11.00% 0.420% 0.420%

Lazard Emerging Markets Equity Instl 06/30/2019 10.40% 2.66% 2.57% 6.99% -0.44% 5.42% 6.50% 1.070% 1.070%

Nuveen Real Estate Securities R6 06/30/2019 18.42% 1.59% 11.43% 4.34% 7.81% 15.45% 7.26% 0.880% 0.880%

PIMCO Commodity Real Ret Strat Instl 06/30/2019 8.76% -0.56% -6.47% -1.53% -9.43% -1.67% 2.37% 1.390% 1.240%

Principal MidCap R5 06/30/2019 30.23% 9.23% 17.93% 17.08% 12.39% 17.27% 10.86% 0.850% 0.850%

T. Rowe Price Health Sciences 06/30/2019 17.50% 1.73% 10.39% 14.22% 12.95% 20.23% 14.49% 0.770% 0.770%

T. Rowe Price High Yield 06/30/2019 10.09% 3.13% 7.60% 6.97% 4.10% 8.59% 8.11% 0.730% 0.730%

Vanguard Target Retirement 2015 Inv 06/30/2019 9.67% 2.98% 6.41% 6.64% 4.88% 8.32% 6.15% 0.130% 0.130%








Vanguard Target Retirement 2055 Inv 06/30/2019 15.38% 3.48% 5.88% 11.04% 6.82% NA 10.33% 0.150% 0.150%

Vanguard Target Retirement 2060 Inv 06/30/2019 15.36% 3.48% 5.86% 11.03% 6.81% NA 10.02% 0.150% 0.150%

Vanguard Target Retirement 2065 Inv 06/30/2019 15.40% 3.52% 5.84% NA NA NA 7.92% 0.150% 0.150%

Vanguard Wellington™ Admiral™ 06/30/2019 12.91% 3.91% 10.38% 9.84% 7.55% 10.75% 7.69% 0.170% 0.170%

Vanguard Target Retirement Income Inv 06/30/2019 8.63% 2.97% 6.54% 5.24% 4.18% 6.36% 5.28% 0.120% 0.120%

Vanguard Total Bond Market Index Adm 06/30/2019 6.11% 3.07% 7.85% 2.22% 2.89% 3.82% 4.19% 0.050% 0.050%

Vanguard Short-Term Federal Adm 06/30/2019 2.88% 1.52% 4.42% 1.43% 1.50% 1.74% 3.11% 0.100% 0.100%

Vanguard 500 Index Admiral 06/30/2019 18.53% 4.30% 10.38% 14.15% 10.68% 14.67% 6.32% 0.040% 0.040%

Vanguard Interm-Term Treasury Adm 06/30/2019 5.26% 3.07% 7.84% 1.36% 2.51% 3.34% 4.62% 0.100% 0.100%

Vanguard Long-Term Treasury Admiral 06/30/2019 10.63% 5.73% 12.21% 1.16% 5.63% 6.42% 6.59% 0.100% 0.100%

For more information about any investment option available in your Retirement Plan, please request a prospectus. A prospectus contains more information regarding risks, fees, and expenses. You should read and consider information in a prospectus carefully before investing. Investment returns will fluctuate, cannot be guaranteed and do not predict the future performance of any investment.

© 2019 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

© Aspire Financial Services, LLC. All rights reserved.

Proprietary and confidential. Do not copy or distribute outside original intent. TR10007-0216-03

Accessing Your New Account!

SCHOOL CITY OF HOBART

403(B) RETIREMENT SAVINGS PLAN

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School City of Hobart 403(b) Retirement Savings Plan Salary Reduction Agreement

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